Trading Symbol: NWX (TSX-V)
VANCOUVER, BC, Feb. 14,
2023 /CNW/ - Newport Exploration Ltd ("Newport"
or "the Company") is pleased to provide information provided by
Beach Energy Ltd ("Beach") regarding assets on the Western Flank of
the Cooper Basin, Australia, as
reported on February 13th,
2023 in their FY23 Half Year Results.
In a News Release dated February
1st, 2023, the Company made reference to Beach's
FY23 Second Quarter Activities Report for the period ended
December 31st, 2022.
Production
Beach's First Half FY23 production from the Western Flank was
1.9MMbbl.
Beach report that in its First Half FY23, Western Flank oil
production was 35% below the prior corresponding period. (Note:
Western Flank includes the Company's GOR licences ex PEL's 91,
106,107 and PRL 26, as well as licenses ex PEL's 92, 104 and 111,
over which the Company does not have a GOR). The decrease in
production was primarily attributable to flooding in the
Cooper Creek, weather related
downtime and supply chain and procurement challenges arising from
changes to the drilling schedule due to the rain delays.
Consequently, a number of well connections planned for the period
were delayed to Beach's Second Half of FY23.
A total of 10 wells were drilled and remain unconnected at the
end of the period, including five horizontal development wells,
four appraisal wells and one exploration well.
Based on the current outlook for drilling and connection
activity during its Second Half of FY23, Beach is expecting
full-year Western Flank oil production decline of ~10% from FY22
production of 3.4 MMbbl. The revised outlook reflects a
deferral of production which is principally related to weather and
operational delays, with reservoirs performing as expected.
Drilling
Two vertical oil exploration wells were drilled targeting the
Birkhead reservoir. Knapmans 1 was plugged and abandoned due to
sub-commercial oil pay. Rocky 1 discovered approximately three
metres of net oil pay and was cased and suspended for future
production. This result indicates oil migration west of existing
commercial fields and will help inform the Birkhead exploration
campaign planned for FY24.
A Birkhead reservoir fracture stimulation campaign was
successfully delivered which comprised four vertical oil wells in
the Bauer and Kangaroo fields and two horizontal oil wells in the
Kangaroo and Stunsail fields. A second phase of Birkhead horizontal
fracture stimulation wells is under consideration for FY24.
Beach report it is extending PSDM seismic reprocessing to the
entire Western Flank following successful application of the
technology in the south of the Western Flank acreage.
Future Activities
Beach report that in the First Half of FY24 they will return to
exploration using new seismic survey data.
"With 10 wells, including four horizontal wells yet to be
connected, four successful vertical wells in the Bauer and Kangaroo
fields, and two successful horizontal wells in the Kangaroo and
Stunsail fields, we remain very optimistic about the future
production from our GOR licenses", stated
Ian Rozier, President & CEO of
Newport.
Australian Tax Issues
We advise shareholders and investors that the Company recently
received an AUD$406,831 (CAD$376,095)
rebate from the Australian Tax Office.
About Newport
The Company receives its GOR from Beach which is not a reporting
issuer in Canada. Therefore,
Newport is not able to confirm if
disclosure satisfies the requirements of Canadian Securities
legislation.
Newport has no control over
operating decisions made by Beach and is not privy to exploration
or production data derived by Beach during operations. Accordingly,
this prevents the Company from commenting on operating plans going
forward.
As always, the Company recommends that shareholders and
potential investors access material information relevant to the
Company as released independently by Beach and Santos Ltd in order
to keep current during exploration, development and production of
all the licenses subject to the Company's GOR.
The Company currently has 105,579,874 common shares issued and
outstanding and approximately $3.6
million in the treasury (comprised of cash, cash equivalents
and short-term investments) and no debt.
Details of the next GOR payment will be reported at the end of
February or early March 2023.
info@newport-exploration.com
www.newport-exploration.com
www.beachenergy.com.au
www.santos.com
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the accuracy or
adequacy of this news release.
Cautionary Statement on
Forward-Looking Information
This news release is intended to provide readers with a
reasonable basis for assessing the future performance of the
Company. The words "believe", "should", "could", "expect",
"anticipate", "contemplate", "target", "plan", "intends",
"continue", "budget", "estimate", "may", "will", "schedule" and
similar expressions identify forward-looking statements.
Forward-looking statements may pertain to assumptions regarding
Beach's drilling plans, future dividends, the price of oil and
fluctuations in currency markets (specifically the Australian
dollar). Forward-looking statements are based upon a number of
estimates and assumptions that, which are considered reasonable by
the Company, are inherently subject to business, economic and
competitive uncertainties and contingencies. Factors include, but
are not limited to, the risk of fluctuations in the assumed prices
of oil, the risk of changes in government legislation including the
risk of obtaining necessary licences and permits, taxation,
controls, regulations and political or economic developments in
Canada, Australia or other countries in which the
Company carries or may carry on business in the future, risks
associated with developmental activities, the speculative nature of
exploration and development, and assumed quantities or grades of
reserves. Readers are cautioned that forward-looking statements are
not guarantees of future performance. There can be no assurance
that such statements will prove to be accurate and actual results
and future events could differ materially from those acknowledged
in such statements.
The Company disclaims any intention or obligation to update or
revise any forward-looking statements whether as a result of new
information, future events or otherwise, except to the extent
required by applicable laws.
© 2023 Newport Exploration Ltd.
SOURCE Newport Exploration Ltd.