Coastal Energy Company, an oil and gas firm, has cheered its investors with news of an 'outstanding' result at the Songkhla A-10 well in Thailand.
The well was drilled to a depth of 7,400 feet and encountered 213 feet of net pay in the Lower Oligocene with 20% porosity. The gross oil column in the well was approximately 550 feet thick.
Randy Bartley, President & Chief Executive Officer, said: "The A-10 well result is outstanding. This well encountered a record amount of net pay for the Songkhla basin with some of the best reservoir characteristics we've seen in the Lower Oligocene interval.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"We estimate that this doubles the volumetric estimates for this particular fault block. Production will be tied in from this well shortly. The next well will test the fault block immediately to the north and, if successful, could warrant an additional production facility in this location to develop these two fault blocks."
The share price rose 10.36%, or 107.50p, to 1,145p.
NR
-
Norfolk or Norway? Holidays you can afford with different-sized pension potsMany people look forward to taking more holidays when they retire. But what sort of trips could your pension buy you? We look at the holidays to match different retirement incomes
-
Q&A: Issac Thong – new lead manager of Aberdeen Asian Income Fund
