Reabold Resources PLC Reabold California Operational Update (3246X)
April 29 2019 - 2:02AM
UK Regulatory
TIDMRBD
RNS Number : 3246X
Reabold Resources PLC
29 April 2019
29 April 2019
Reabold Resources Plc
("Reabold" or the "Company")
Reabold California Operational Update
Reabold is pleased to announce that testing is underway at the
Burnett 2B well on the Monroe Swell field in California. This was
the second of the two wells drilled at Monroe Swell, and announced
as a discovery on 1 April 2019.
With casing in place, the testing process will involve
perforating multiple zones logged as pay, before conducting
swabbing runs to initiate oil flow for production. The Burnett 2A
well will be tested immediately after testing is complete at
Burnett 2B. Reabold expects the testing process to have been
completed within approximately three weeks.
Reabold has an agreement with Sunset Exploration, Inc to pay the
full drilling and completion costs of two wells within its Monroe
Swell licence areas in order to earn a 50 per cent. net working
interest in these licences. Once the Burnett 2A and the Burnett 2B
have been completed to first sales, Reabold will have earned its 50
per cent. interest. Additional activity beyond the initial two
wells will be funded by Reabold on a 50 per cent. working interest
basis.
At the West Brentwood field, in which Reabold has earned a 50
per cent. interest, work is underway to complete a tie in to the
nearby gas pipeline. This will allow the VG-4 well to produce oil
at a higher rate, as well as allowing the sale of the gas produced
from the well. A gas sales and purchase agreement has been signed
with the pipeline operator, and Integrity Management Solutions,
contract operator of Reabold's interests in California, expects to
be installing the required system to the connection point later
this week. The final step will be for the pipeline operator to
perform a "hot tap" into the pipeline. This allows the West
Brentwood gas production to be tied into the pipeline system
without disrupting the flow of gas through the pipeline.
As announced on 16 April 2019, the well is now on production at
a constrained rate, targeted at 150-250 barrels of oil per day.
Sachin Oza, Co-CEO of Reabold, commented:
"We are very pleased to have moved quickly to the testing phase
at Monroe Swell following the completion of drilling earlier this
month, whilst simultaneously bringing VG-4 into production. We
continue to deliver consistently high levels of activity with six
wells now drilled across the portfolio in quick succession, West
Newton currently drilling, and wells at Parta and Grizzly Island
planned for later this year. We look forward to updating the market
as to the progress at the Burnett wells in due course."
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
ENDS
For further information please contact:
Reabold Resources plc c/o Camarco
Stephen Williams +44 (0) 20 3757 4980
Sachin Oza
Strand Hanson Limited (Nominated and Financial
Adviser)
Rory Murphy
James Spinney
James Dance +44 (0)20 7409 3494
Camarco
James Crothers
Ollie Head
Billy Clegg +44 (0) 20 3757 4980
Whitman Howard Limited - Joint Broker
Nick Lovering
Grant Barker +44 (0) 20 7659 1234
Turner Pope Investments (TPI) Ltd - Joint
Broker
Andy Thacker +44 (0) 20 3621 4120
Notes to Editors
Reabold Resources plc is an investing company investing in the
exploration and production ("E&P") sector. The Company's
investing policy is to acquire direct and indirect interests in
exploration and producing projects and assets in the natural
resources sector, and consideration is currently given to
investment opportunities anywhere in the world.
As an investor in upstream oil & gas projects, Reabold aims
to create value from each project by investing in undervalued,
low-risk, near-term upstream oil & gas projects and by
identifying a clear exit plan prior to investment.
Reabold's long term strategy is to re-invest capital made
through its investments into larger projects in order to grow the
Company. Reabold aims to gain exposure to assets with limited
downside and high potential upside, capitalising on the value
created between the entry stage and exit point of its projects. The
Company invests in projects that have limited correlation to the
oil price.
Reabold has a highly-experienced management team, who possess
the necessary background, knowledge and contacts to carry out the
Company's strategy.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
DRLLFFLLSIITFIA
(END) Dow Jones Newswires
April 29, 2019 02:02 ET (06:02 GMT)
Reabold Resources (LSE:RBD)
Historical Stock Chart
From Apr 2024 to May 2024
Reabold Resources (LSE:RBD)
Historical Stock Chart
From May 2023 to May 2024