Brookside Energy (ASX:BRK) reports its second well in the SWISH area of interest (AOI) Rangers 36-25 SXH1 Well (Rangers Well) has paid out within 7 months of commencing production in Oklahoma’s Anadarko Basin.
The company says the well has been paid out within 7 months of commencing production with all drilling and completion costs now fully recovered, and the expedited payout has considerably beat pre-drill estimates due to the strong Rangers Well production rates and a strong mix of oil and liquids rich gas and ‘decade high’ commodity prices.
Rangers Well has produced around 173,400 barrels of oil equivalent (BOE) (around 83% oil and NGL’s) in its first 7 months of production generating revenues of US $13.243 million for the same period.
Brookside Energy Managing Director David Prentice said the company is incredibly pleased to report on the payout of its second operation SWISH AOI well, which is another fantastic achievement for the business and a milestone that cannot be ignored when looking at the enormous amount of value the company has created in the large inventory of high-impact, low risk proved underdeveloped wells.
“we are frustrated that the results we are delivering are not currently being recognised by the market”
“While we are frustrated that the results we are delivering are not currently being recognised by the market, we remain committed to executing our plan, building out the asset base, monetising and returning value to shareholders when we can.
The team is focused and we are always looking for opportunities to promote our amazing story, build confidence among our existing shareholders and importantly to attract new investors that recognise the significant opportunity that our assets represent.”
Brookside says the quick payout of the Rangers Well is further confirmation of the ‘very high-quality’ reservoirs (Sycamore and Woodford) that the company is exploiting in this area, and notes this is important as the company embarks on its phase two development drilling in the SWISH AOI with its Wolf Pack Well currently drilling.
Brookside Energy is an Australian oil and gas company operating in the Anadarko Basin in Oklahoma, United States.
Images: Brookside Energy Ltd
