TAG Oil’s Pukatea-1 well flows oil and gas

TAG Oil, reports that the Pukatea-1 well was completed at the Mt Messenger formation, where 12.9 metres of oil-and-gas bearing sands were perforated.

Following perforation, a flow test was completed during which the well flowed naturally at a rate of up to 600 b/d of fluids on initial well clean-up. Over a 12-hour test period using a 24/64” choke setting, the well flowed at a stabilised rate of ~276 boe/d (74% oil) without the need for artificial lift.

Toby Pierce, TAG Oil’s CEO, commented: “This very encouraging flow test paves the way for another potential TAG Oil-operated, high netback, oil field development in New Zealand.

“With TAG Oil’s current daily net production at ~1,297 boe and with Brent Oil prices currently over US$68/b, we continue to realise solid cash flows as we optimise our Taranaki operations with a view to increase production within our core operating areas.”

Pukatea-1 is located in onshore Petroleum Exploration Permit 51153 (TAG Oil 70%) in the Taranaki Basin of New Zealand.

The permit also contains the shut-in Puka-2 oil well, which can also be monetised upon field development. The oil produced during the Pukatea-1 flow test has been combined with other oil produced in the area and sold to the market at Brent Oil pricing.

Source: Energy-pedia