Petromanas Energy Inc. today announced the spudding of the Molisht-1 well onshore Albania and provided an update on its other exploration activities on Blocks 2-3. The company also provided an operational update on it projects in the region:
Road and well site construction at Molisht-1 advanced rapidly through late July and the drilling rig was mobilized to the drilling location in early August.Molisht-1 lies approximately 17 kilometres south of Shpirag-2 and was spud on August 20, 2013 (CET). The Company expects to drill the well to a total depth (TD) of approximately 5,500 metres and drilling operations are expected to take approximately nine months. The anticipated gross cost of drilling the well to TD, including road and lease construction, is approximately USD $62 million. Petromanas' estimated net drilling cost is USD $3 million.
The Shpirag-2 well reached total depth of 5,547 meters in late June and the Company subsequently set the production liner and mobilized the rig to Molisht-1. The Company intends to conduct a controlled test of approximately 350-400 metres of the target carbonate zone. Timing for the commencement of testing operations is now expected to be mid-September 2013, with testing running into October. Results of testing are expected in the fourth quarter.
"Our construction contractor worked diligently to advance road and lease
construction at Molishti so that we could promptly mobilize the drilling rig
following its release from Shpirag-2, minimizing downtime," said Mr. Glenn
McNamara, CEO of Petromanas. "Spudding the Molisht-1 well and the stimulation and testing of the Shpirag-2 well are both key activities in our exploration program in Blocks 2-3. These wells target two potentially significant reservoirs and will provide the Company with information to prepare a preliminary assessment of the commercial potential of this asset."
Blocks 2-3 Seismic Program
The investigation being conducted by the Investigation Board of the Albanian Ministry of Transport following the helicopter incident involving a third party contractor announced on August 13, 2013 is ongoing. Petromanas and its contractors and partners have mobilized their own investigative staff to the crash site and are cooperating with the government investigation. While ground operations have resumed, helicopter operations will remain suspended until the investigation has been completed. At the time of the incident, shooting for the planned 2013 seismic program was approximately 60% complete and is expected to finish in November 2013.
Filing of Q2 2013 Financial Results
The Company has filed its financial statements and related Management's
Discussion and Analysis ("MD&A") for the three months ended June 30, 2013 on SEDAR. The financial statements and MD&A will be available on the Company's website and at www.SEDAR.com.
Source: Petromanas Energy Inc., 2013.