Regal Petroleum MEX-120 Well Drilling At Depth Of 5,294 Meters

22nd Jul 2010 15:21

LONDON (Dow Jones)--Regal Petroleum PLC(RPT.LN), an oil and gas exploration and production group, said Thursday that the MEX-120 well is drilling ahead in the 81/2 inch hole at a depth of 5,294 meters towards the final well TD planned at 5,370 meters, where the 7 inch liner will be run prior to perforation and completion operations in the B-sands. MAIN FACTS: -These operations are scheduled throughout August 2010, with production hook-up anticipated in September 2010. -SV-69 has made good progress since its spud on 1 June, and is drilling ahead in the 12 ¼ inch hole at a depth of 4,433 meters towards the section TD planned at 4,890 meters, where the 9 5/8 in casing will be set before entering the B-sands reservoir objective. -The SV-66 well performance decline from the initial high rates to a current gas production rate of 75,000 m3/d. -However, the production has been denoted by abrupt decreases and increases in both wellhead pressures and flow rates rather than a gradual reduction typically associated with reservoir depletion due to gas offtake. -Preparations are therefore underway to conduct a coil tubing intervention during late August 2010. -The MEX-106 work-over intervention to remove the fish and resume the T and D-sands perforation and test program is underway. -A work-over intervention is planned on MEX-103 in order to pull the completion and provide uninhibited access to the inside of the casing to allow perforation with Stimgun mini-frac equipment that was not available in Ukraine at the time of the completion of the well in 2008. -A work-over intervention is planned on SV-61 in order to investigate and repair a number of mechanical issues identified in the well, which are believed to have prevented the well from producing. -A production test on MEX-102 is planned during August 2010, which is designed to ascertain whether the change in the pressure of the producing B-23 reservoir will now allow the production ports that were installed in the completion during 2008 to be opened in order to re-introduce the currently closed-in condensate-rich B-20 gas into the production stream. -SV-58 gas production has continued steadily for 6 months at approximately 105,000 m3/d. GOL-1, drilled in 1991, continues to deliver a production contribution at a modest rate, GOL-2, drilled in 2001, has been suspended because of local depletion of the B-23 reservoir and MEX-4 remains in service as a water disposal well. -The company's total field production rate on July 20, was 1,930 barrels of oil equivalent per day or boepd -Preparations are continuing towards the spud of the RBN-E1 well, which is planned for early September. -Shares at 1420 GMT up 2.0 pence, or 5.56%, at GBP38 pence, valuing the company at GBP122.01 million. -By Razak Musah Baba, Dow Jones Newswires; 44-20-7842-9275; [email protected] (END) Dow Jones Newswires July 22, 2010 10:21 ET (14:21 GMT)