The Operator plans to continue producing the Atzam #4 well on a highly restricted choke in order to maintain
the reservoir integrity during this initial production phase. Following the increase in the choke to 16/64 inches
this week, the Operator will monitor the production profile at this new setting before opening the choke
further. The intention is still to increase the choke over a period of time to establish the optimal production
rate for this producing carbonate section. Independent reservoir engineers Ralph Davis have advised that the
well could be produced at an optimal production rate of 466 bopd, whilst maintaining the reservoir’s structure
and integrity.
What if we find oil and the above happens, we will blow past 2 cents and with no need for CR.
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