Petroneft to sign contract for five additional wells after initial success

Irish oil and gas explorer PetroNeft has described work on two wells in Russia’s Tomsk Oblast region as a “fantastic success” and said it will deliver a full return on investment in less than a year .

A contract has been signed for the provision of fracturing services on the Lineynoye and Arbuzovskoye fields in License 61 during the upcoming winter season.

It announced on Friday the extension of the winter campaign with the aim of increasing production and also improving the sustained flow rate of existing wells on two producing fields in License 61.

Following this successful initial program, a new contract was signed with NewTech Well Services, an international oil services company, for the supply of a larger fracturing program covering five additional wells.

The contract was obtained on the same terms as at the start of the year, guaranteeing “a strong return on additional production”.

PetroNeft Chief Executive David Sturt said: “The two-well fracturing program in early 2021, which was based on extensive technical planning by our team, has been a fantastic success. The program has exceeded our expectations and will have generated a full return on investment in less than a year.

“Based on this, our team has developed a more ambitious five-well program for the coming winter. We are delighted to be working with NewTech again, following the successful engagement earlier this year.

“After considerable technical review, we took a cautious and measured approach to our two-well fracturing program earlier this year to ensure our assumptions were correct.

“It is now very satisfying to be able to expand the program this year to five more wells and to further increase production at our License 61 asset.

“This is the first part of our 2022 operational program to be announced and we look forward to providing further updates over the coming weeks as we seek to build on the progress made to date.”