Petroceltic Completes 2nd Algeria Producer Well
AIM-listed Irish explorer Petroceltic, which is being taken over by hedge fund Worldview, has completed drilling a second development well on its remaining asset, the Algerian Ain Tsila gas-condensate field development which it operates with a 38.25% interest.
Petroceltic said that AT-13, the second of up to 24 new development wells on Ain Tsila, began drilling on April 20 and reached a total depth of 2.02km on May 14.
Wireline logging results from the well indicate excellent reservoir quality, similar to that at AT-8. Well test results will be confirmed later in 2016. The latest well, drilled on time and under budget, is expected to reach and maintain an average wet gas plateau rate 355mn ft3/d (3.67bn m3/yr). It was drilled 1.8km from AT-8 and 6.1km from the original discovery well AT-1. Sinopec’s drillrig will now move to drill AT-11, the 3rd development well, nearby to a depth of 2.05km.
Petroceltic continues to benefit from a carry of its development costs in respect of Ain Tsila following the completion of the sale of an 18.375% interest to Algerian state Sonatrach in July 2014.
On May 12, Petroceltic said it had lost the battle to stay independent; a mid-April planned sale at £0.03/share to Worldview collapsed.
Petroceltic shares were suspended in early March. It has been in administration since early April. The administrator, in Ireland called the ‘Examiner’, said in early May that he would hand Petroceltic to Worldview, one of its creditors, once he had finalised meetings with shareholders and creditors towards the end of this month. The examinership process is expected to conclude in early June.