Pilot Energy notes Triangle Energy (Global), the operator of the Cliff Head Oil Field, has provided an update on the Cliff Head workover programme and the successful completion of the CH-7 well new electric submersible pump installation and its return to production. 

As announced to the ASX on 25 September 2020, Pilot has entered into definitive agreements to acquire Royal Energy Pty Ltd which holds an effective 21.25% interest in the Cliff Head Oil Field through its ownership of a 50% interest in Triangle Energy Operations Pty Ltd, the operator and owner of a 42.5% joint venture interest in the Cliff Head Oil Field.

CH-7 WORKOVER COMPLETE AND PRODUCTION RESUMES

Triangle Energy advises that the CH-7 well at the Cliff Head Oil Field (Cliff Head) returned to production on the afternoon of 28 November 2020.

Operations returned after a successful Workover Programme (Workover) which included the installation of a new, downhole Electric Submersible Pump (ESP) and was completed ahead of schedule and under budget.

Performance testing and verification is underway, however the Company is pleased to announce that production associated with the CH-7 well is expected to stabilise at approximately 237 bopd, bringing the field total production to approximately 825 bopd.

The successful resumption of production on the CH-7 well revalidates the Company's decision in 2019 to move to the Hydraulic Workover Unit (HWU) alternative system for safe and lower cost operations, ESP design and replacement.

The Company would also like to update shareholders on the CH-6 Workover, which commenced concurrently with the CH-7 Workover. This Workover has been temporarily suspended after initial attempts to retrieve the old ESP were unsuccessful. The failed ESP had been in production for over ten years. This exceptional runlife is a testament to the operation of the well and the Cliff Head field from the Triangle team in Dongara.

This pause in operations enables the Company to progress with contingency planning without incurring any standby costs.

The target date for resumption of workover activities for CH-6, under the current contracting agreements, will be Q1 2021.

KeyFacts Energy: Pilot Energy Australia country profile   l   Triangle Energy Australia country profile