6 April 2018
Echo Energy plc
("Echo" or the "Company")
Rig Mobilisation for Workover Programme
Echo Energy plc, the Latin American focused upstream oil and gas company, is pleased to announce the mobilisation of the rig for a three well workover campaign at the Company's Fracción D asset, onshore Argentina.
The Quintana-01 rig, on contract to Compañía General de Combustibles S.A., the Company's Argentinian partner, has been mobilised from the west of the Austral basin and will travel approximately 250 km by road to Fracción D in the east of the Austral basin. Mobilisation is expected to take approximately 3 days after which the rig-based activities on 3 selected existing wells will commence.
For each of the workovers, the rig workover programme consists of abandoning the previously producing, but now suspended, oil zones and then completing the discovered but uncompleted gas zones within the Springhill Formation. Each rig operation is expected to take up to 10 days, following which each well will be put on an extended well test to obtain further data on the existing gas volumes prior to any sanction of a commercial development, which would include the construction of a 28km pipeline. Testing of each well is expected to take a maximum of 30 days, including flowing and shut in periods to determine reservoir pressures, connected volumes and flow rates. The total cost of the rig operations and testing is approximately US$0.55M per well.
The Company will provide market updates, as appropriate, as the workover programme advances.
Fiona MacAulay, Chief Executive Officer of Echo, commented:
"We are delighted to be moving into this exciting workover campaign and look forward to updating our shareholders as the programme progresses. Alongside these workovers we continue with the detailed engineering work programmes that are now being finalised for the back to back four well exploration campaign at Fracción C, where the drilling rig due to arrive on location in early May."
For further information please contact:
Echo Energy plc Fiona MacAulay, CEO Will Holland, CFO |
[email protected] [email protected] |
Smith & Williamson (Nominated Adviser) Azhic Basirov David Jones Ben Jeynes |
+44 (0)20 7131 4000 |
Hannam & Partners (Corporate Broker) Giles Fitzpatrick Andrew Chubb Ernest Bell |
+44 (0)20 7907 8500 |
Vigo Communications (PR Adviser) Patrick d'Ancona Chris McMahon Kate Rogucheva |
+44 (0)20 7830 9700 |
