Winchester Energy has gone beyond expectations delivering 80 barrels of primary oil from the first well at the Varn Oil Field in Nolan County in the oil state of Texas in the US.
The pleasing result follows recent completion of the JVU#6 well to a total depth of 4,715ft.
It is the first production well for the forthcoming Varn Oil Field waterflood operations to raise reservoir pressure thereby forcing oil towards pre-drilled producer wells.
The Company said early production surprisingly generated higher than anticipated 80 bopd before levelling out at 30-40 bopd plus gas.
The Varn Oil Field was reputedly depleted of all primary oil in the 1980s, hence the planned waterflood to recover a further 1 million barrels of oil equivalent1 (mmboe) through secondary (waterflood) production.
The unexpected primary production adds further revenue and bodes well for potential further bonus primary production from the next producer wells to be drilled at Varn,” the Company said.
Varn contains 2P Reserves of 1.06mmboe and is expected to contribute to revenue significantly following the commencement of the waterflood.
About Winchester Energy
Winchester Energy Limited, together with its subsidiaries, engages in the acquisition and exploration of oil and gas properties in the United States and Australia. It had approximately 17,266 net acres located in the Eastern Shelf of the Permian Basin in Texas. The company was incorporated in 2014 and is based in West Perth, Australia.