Kairiki Energy Limited (ASX:KIK) SC 54A Tindalo Operations Update
Perth, June 24, 2010 AEST (ABN Newswire) - Kairiki Energy Limited (ASX:KIK) (PINK:KAIRF) has been advised by Nido Petroleum Limited (ASX:NDO) of the update on the Extended Well Testing (EWT) at Tindalo.
Well testing is continuing under the EWT agreement. As previously advised the EWT is for a period of 100 days of actual crude flow/production time or one million barrels of crude production, whichever occurs first.
The programme is designed to evaluate well performance and determine the long-term reservoir management plan for optimisation of reserves and value during the normal production phase beyond the EWT term. The following highlights can be confirmed to date:
- Approximately 75,000 barrels of oil have been produced from the well;
- Ongoing commissioning of the production processing equipment has required the well to be produced intermittently and at a restricted rate of approximately 6000 barrels of fluid per day;
- The processing equipment provider, Weatherford Asia Pacific Pte Ltd, has mobilised additional specialists to accelerate commissioning activity onsite; and
- Water sample analysis has confirmed that the produced water is formation water.
The current well testing program is to startup the downhole pump (ESP) whilst finalising commissioning of the processing equipment. The well will be tested at several fluid rates and will be occasionally shut-in for data gathering purposes over the following days and weeks to evaluate the longer-term water cut development and well performance.
Nido will provide further updates to the market once the reservoir management plan has been finalised or when other material information becomes apparent.
For the complete Kairiki announcement including maps, please view the following link:
Dr. Mark Fenton
Kairiki Energy Limited