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C O M P A N Y I N F O R M A T I O N
Golden Gate Petroleum Ltd
ABN 34 090 074 785
COMPANY DIRECTORS
Steve Graves – Executive
Chairman
Chris Porter – Director
Rob Oliver - Director
MANAGEMENT
Chris Ritchie – CFO / Co Sec
STOCK EXCHANGE LISTING
Australian Stock Exchange
ASX Code: GGP
Current Shares on Issue:
4,353,316,468
Market Capitalization as at 23
May 2013 based on a share
price of $0.002
AUD $ 8.7 million
CURRENT PROJECTS
Permian Project
Eagle Ford Shale
Bowtie West
Napoleonville
North Edna
Acadia
Goliad
www.ggpl.com.au
G O L D E N
G A T E
P E T R O L E U M
L T D
A S X
/
M E D I A
A N N O U N C E M E N T
24 May 2013
Permian Project
Operational Update—5H Gas Sales Commenced
Golden Gate Petroleum Limited (“GGP”) (ASX: GGP) is
pleased to provide the market a weekly update
on the 5H well which is part of the Permian Project
in Texas, USA.
#5H Well Update
The 5H well continues to produce frac fluid, oil an
d gas through a bottom hole pump. Pump rates
have varied during the last week as the well has be
en shut-in at times to install a new gas pipeline,
meter, capillary and to conduct performance testing
. In addition, an emulsion reducing additive is now
being used to chemically treat the oil and frac flu
id emulsion that is making up part of the produced
fluids stream.
The most recent oil cut percent is approximately 35
%, up from the prior week and total fluid
production is running around 135 bbl per day as we
continue to adjust flow rates and adjust for gas
production. Gas production is up to a 200 mcf per d
ay rate. Pressure in the new gas pipeline will
eventually be reduced to allow additional productio
n once compressors are installed to maintain lower
line pressures. We are also evaluating a replacem
ent of the bottom hole pump as pump rates based
on fluid levels and other factors suggest that a di
fferent pump, such as a jet pump, may provide
better performance. The addition of chemicals, high
gas line pressures and changes to production
equipment are often normal operational fine tuning
for a new well.
We continue to monitor the well and will adjust equ
ipment and flow rates as conditions warrant. The
current hydrocarbon break-through is not considered
a measure of initial production levels at which
the well will establish its long term producing bas
e. Higher percentages of oil and gas are expected
as more total frac fluid is recovered and further c
hanges are made to the well’s operational
parameters.
Halliburton have reported recoveries of up to 40-50
% of frac fluid volumes prior to hydrocarbon break
through when using Perm Stim frac fluid. The early
start to oil and gas production in 5H is testimony
to every well being different and sometimes hard to
know what to expect. Other wells using Perm
Stim fluid and having early breakthrough similar to
5H experience suggest that the 5H well could
produce for several weeks at current oil percentage
s before oil production reaches initial production
levels.
For and on behalf of the board
Steve Graves
Executive Chairman