Molopo Energy Limited (“Molopo” or “the Company”) (ASX:MPO) is pleased to report that preliminary results from the Linthicum Washington 36-2H, Molopo’s first well in its Barnhart acreage in the Permian Basin of West Texas, are meeting expectations. The well has been on gas lift for 16 days producing for a total of 299 hours. Through this period, cumulative production totaled 2,282 barrels oil, 3,598 mcf natural gas and 19,693 barrels of load fluid, and the load fluid recovered to date represents 14.8% of the total fluid. Over the last 24 hour period ending Aug 28 (North America), the well produced 525 barrels oil, 895 mcf gas and 1,171 barrels load fluid. Based on data obtained from the processing facility, anticipated sale NGL ratios are expected to be approximately 70-80 bbl / mmcf. The oil rate is continuing to improve as overall load fluid recoveries increase, and the initial clean up of the well is performing consistently with offset wells in the area. The Company will provide further updates on the well once it has stabilised.
As a result of these positive indications on the first well in this area, Molopo has spudded its second Barnhart well at Linthicum Washington 36-1H and will further focus on this highly prospective acreage.
In the Company’s Fiesta acreage in Texas, completion continues on the Baggett 16-1H well with expectations that flow back will commence in the coming days, and cott 16-1H well with expectations that flow back will commence in the coming days, and completion of the drilled Baggett 40-2H well is expected to commence in mid September.
MPO Price at posting:
53.0¢ Sentiment: LT Buy Disclosure: Held
