HOUSTON, Jan. 26, 2017 /PRNewswire/ -- W&T Offshore,
Inc. (NYSE: WTI) announced today that the Ship Shoal 349 A-18 well,
its most recently completed well in its Mahogany field, was
successfully brought on production on January 17, 2017. The well is ramping up to
full rates and thus far has achieved a production rate of 3,275
barrels of oil per day and 5.6 million cubic feet of natural gas
per day, for a total of approximately 4,200 barrels of oil
equivalent (Boe) per day at a flowing tubing pressure of over 9,000
psi. The Company expects to increase the A-18 production rate
to in excess of 5,000 Boe per day consistent with its reservoir
management plan.
As previously reported, the SS 349 A-18 well logged 149 feet of
net oil pay in five zones and extended the size and depth of the
Mahogany field. The well was completed in the main objective
'T' Sand, with future recompletion opportunities to additional pay
zones available in the well. This deep shelf subsalt well was
drilled to a total vertical depth of approximately 20,000 feet in a
water depth of 372 feet on the western side of the Mahogany field.
W&T holds a 100% working interest in the Mahogany
field.
Tracy Krohn, W&T Offshore's
Chairman and CEO, stated, "The SS 349 A-18 well is proving to be
another substantial producer from an outstanding field that
continues to expand in size. With its high quality rock properties,
including very high porosity and permeability, we anticipate strong
production rates from this well for years into the future.
Our SS 349 A-14 well that originally discovered the 'T' sand in
July 2013 has produced a total of 3.8
MMBoe gross from the 'T' sand to date. As a result, the
economic returns on these wells are excellent.
"As we stated on January 24th, our
2017 capital budget includes the drilling and completion of three
additional wells in the Mahogany field, with each project expected
to achieve a rate of return in excess of 100%, with a relatively
quick payback. We have multiple 'P' Sand, 'T' Sand and 'Q'
Sand targets and the thick stacked pay sands that will offer
drilling and recompletion opportunities for years to come,"
concluded Mr. Krohn.
Tom Murphy, W&T Offshore's
COO, stated, "The A-18 well has exceeded our pre-drill production
rate expectations. Initial indications are that the A-18 well
is located in the same large reservoir as the original 'T' sand
discovery well, the A-14. This provides excellent
encouragement for our expansion plans in this reservoir including
exploitation of the newly discovered 'U' sand," concluded Mr.
Murphy.
The Company also announced that it has posted a new investor
presentation to its website that includes slides concerning
projects planned for the 2017 capital program. The
presentation slides can be accesses from the Investor Relations
page of W&T's website at www.wtoffshore.com under
"Presentations."
About W&T Offshore
W&T Offshore, Inc. is an independent oil and natural gas
producer with operations offshore in the Gulf of Mexico and has grown through
acquisitions, exploration and development. The Company
currently has working interests in approximately 54 fields in
federal and state waters (50 producing and four fields capable of
producing) and has under lease approximately 750,000 gross acres,
including approximately 450,000 gross acres on the Gulf of Mexico
Shelf and approximately 300,000 gross acres in the deepwater.
A majority of the Company's daily production is derived from wells
it operates. For more information on W&T Offshore, please
visit the Company's website at www.wtoffshore.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements reflect our current views
with respect to future events, based on what we believe are
reasonable assumptions. No assurance can be given, however, that
these events will occur. These statements are subject to risks and
uncertainties that could cause actual results to differ materially
including, among other things, market conditions, oil and gas price
volatility, uncertainties inherent in oil and gas production
operations and estimating reserves, unexpected future capital
expenditures, competition, the success of our risk management
activities, governmental regulations, uncertainties and other
factors discussed in W&T Offshore's Annual Report on Form 10-K
for the year ended December 31, 2015
and subsequent Form 10-Q reports found at www.sec.gov or at our
website at www.wtoffshore.com under the Investor Relations section.
Investors are urged to consider closely the disclosures and risk
factors in these reports.
CONTACT:
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Lisa
Elliott
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Danny
Gibbons
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Dennard Lascar
Associates
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SVP &
CFO
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lelliott@dennardlascar.com
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investorrelations@wtoffshore.com
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713-529-6600
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713-624-7326
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SOURCE W&T Offshore, Inc.