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- Armour Energy (AJQ) says the fracture stimulation of the Warroon-1 well in the Surat Basin is progressing as planned
- Last month, the energy stock completed the fracture re-stimulation and, post clean-up, conducted swabbing operations which led to recovering 400 barrels of stimulation fluids
- The well has now recovered 10 per cent of the total stimulation fluids with increasing gas rates currently noted at 325 MSCFD (thousand standard cubic feet per day)
- Armour Energy expects Warroon-1 will continue cleaning up over the next few days before achieving the expected production potential
- Company shares have dipped 5 per cent in the red to trade at 1.9 cents
Armour Energy (AJQ) has provided an update on operations within the Surat Basin.
In early January, the energy stock completed the fracture re-stimulation for the Warroon-1 well which is located within Armour’s Kincora gas project in Queensland.
All fracture stages were successfully pumped by oilfield services company Schlumberger with a total proppant placement of 159,826 pounds versus the planned 157,500 pounds.
After the clean-up, the well stayed suspended until January 28 when a swabbing package could be mobilised. Swabbing is a process that removes fluids off the production zone of a well. On the second day of swabbing, Warroon-1 started free flowing through flow back equipment surface tanks.
Following the recovery of about 400 barrels of stimulation fluids, gas break out was evident and the clean-up flow was diverted in line through the gathering system.
The Warroon-1 well has now recovered 10 per cent of the total stimulation fluids with increasing gas rates currently noted at 325 MSCFD (thousand standard cubic feet per day).
“I am very pleased to report that the Warroon-1 fracture stimulation is progressing as per the program and currently in line with expectations. Armour’s Surat acreage contains numerous fracture stimulation and drilling opportunities that the company looks forward to progressing in 2022,” CEO Brad Lingo said.
Armour Energy expects the well will continue cleaning up over the next few days before achieving the expected production potential.
Company shares dipped 5 per cent in the red to trade at 1.9 cents at 12:38 pm AEDT.
