Ruspetro changes condensate production expectation for Palyanovo field

Ruspetro, the independent oil and gas development company located in the Khanty-Mansiysk region of the West Siberian basin has published an operational update relating to its production expectations for condensate.

On January 25th, the company announced its intention to bring on-line a heat exchange system during February in the newly discovered Palyanovo gas and gas-condensate field with the aim of boosting condensate production towards 4,000 barrels of oil per day (bopd).

Ruspetro reported that the heat exchange system had now been commissioned and had reduced the temperature of the hydrocarbon stream to a target level of 40 degrees Celsius.

Overall company production of oil and condensate has risen to a current level of 7,100 bopd.

However the company indicated that it had changed its expectation for condensate production after some wells recently brought online showed lower than expected flow rates and condensate yields.

The company reported: "We still have a further six wells in the condensate area awaiting activation and are expecting to bring these online in the near future; however, owing to wells recently brought online, which have had lower than expected flow rates and condensate yields, we no longer expect condensate production to reach the previous target level of 4,000 bopd in February."

Ruspetro added that condensate production now stands at 1,450 bopd, with most of the production continuing to come from established wells.

Ruspetro's share price was down 6.52% to 32.25p at 10:52 on Wednesday morning.

MF