Amerisur Resources advances on positive Platanillo update

Shares in South America-focused oil and gas producer Amerisur Resources rose on Monday after the company unveiled a positive update on its operations at the Platanillo Field in Colombia.

Shares in South America-focused oil and gas producer Amerisur Resources rose on Monday after the company unveiled a positive update on its operations at the Platanillo Field in Colombia.

The AIM-listed company reported that the area known as the "Platanillo-1 ST1 sidetrack" had encountered a 22 foot (ft) net pay interval in the U sand and produced 530 barrels of oil per day (bopd) in a controlled production test.

Furthermore, the company said that the Platanillo-10 well encountered 68 ft net pay in U and T sands and reported that Platanillo Field production is currently at 4,700 bopd. It pointed out that production was constrained by pipeline and export facility availability and said that total field production capacity was estimated at 6,400 bopd.

The company said that it was active in developing new alternatives for oil delivery, and expected those options to allow a continued growth in production over the coming months.

Dr. John Wardle, Chief Executive Officer of Amerisur Resources, commented: "I am very excited by the result of the Platanillo-1 ST1 sidetrack. To encounter producible oil at that position in the structure augurs well for the size of the eventual recoverable resource in the Platanillo field.

"Additionally, this great result has significantly de-risked the northern section of Platanillo. Based on our 3D seismic and this well data I am confident we will develop significant reserves volumes in the northern part of the block."

Shares in Amerisur Resources were up 5.39% to 53.75p at 09:19 on Monday morning.

MF

Recommended

Ensign Group: profiting from US private care
Trading

Ensign Group: profiting from US private care

Nursing and care-home specialist Ensign Group should thrive as Americans age. Matthew Partridge picks the best way to play it.
28 Sep 2021
How to profit from India’s high-tech recovery
Share tips

How to profit from India’s high-tech recovery

Professional investor David Cornell of the India Capital Growth Fund, selects three of his favourite Indian stocks to buy now.
27 Sep 2021
Share tips of the week – 24 September
Share tips

Share tips of the week – 24 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
24 Sep 2021
Three strong Asian stocks trading at bargain prices
Share tips

Three strong Asian stocks trading at bargain prices

Professional investor Nitin Bajaj of the Fidelity Asian Values investment trust picks three stocks that dominate their industries, earn good returns o…
20 Sep 2021

Most Popular

A nightmare 1970s scenario for investors is edging closer
Investment strategy

A nightmare 1970s scenario for investors is edging closer

Inflation need not be a worry unless it is driven by labour market shortages. Unfortunately, writes macroeconomist Philip Pilkington, that’s exactly w…
17 Sep 2021
What really causes inflation? Here’s what prices since 1970 tell us
Inflation

What really causes inflation? Here’s what prices since 1970 tell us

As UK inflation hits 3.2%, Dominic Frisby compares the cost of living 50 years ago with that of today, and explains how debt drives prices higher.
15 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021