PetroNeft: Production begins on well 61 at Arbuzovskoye

PetroNeft Resources, a Russia-focused oil company, has said the the Arbuzovskoye well 109 on licence 61 has been successfully completed and put into production.

The well is just beginning to stabilise after experiencing flow line problems caused by the very cold weather, the group said, adding that it expects the initial flow rate of 100 barrels of oil per day (bopd) to increase somewhat.

The company also said that the Arbuzovskoye well 111 is drilling ahead and group production currently stands a 2,500 bopd. However, it did warn that four production well are currently off line for remedial work on pumps. All are expected to be online by the year-end.

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Dennis Francis, Chief Executive Officer of PetroNeft Resources said: "While well 109 is very economic at this initial flow rate we do expect the rate will improve somewhat as we optimise the well. Importantly, the well is producing 100% oil with no water so we are continuing to confirm our understanding of the size of the field.

"While some operational challenges and variation in results should always be expected, we look forward to completing further wells in Arbuzovskoye over the coming months as we continue to focus on materially increasing our production profile and cash flows."

NR