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

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021
What does the Coinbase listing mean for bitcoin and other cryptocurrencies?
Bitcoin

What does the Coinbase listing mean for bitcoin and other cryptocurrencies?

As the bitcoin price hit new highs, the world's biggest cryptocurrency exchange, Coinbase, listed on the stockmarket. John Stepek looks at what that m…
15 Apr 2021
Lab-grown meat: how “moo’s law” will drive innovation
Soft commodities

Lab-grown meat: how “moo’s law” will drive innovation

Jim Mellon and Anthony Chow, co-founders of Aim-listed Agronomics, explain why they believe that “cellular agriculture” will benefit from massive long…
16 Apr 2021