Hurricane reports lower oil production rate at Lancaster

UK-based oil and gas company Hurricane Energy updated the market on Lancaster field operations on Monday, reporting that in April, as part of its periodic reservoir management well testing programme, the field was producing from both the P6 and P7z wells in various different configurations and at various production rates, including periods of well shut-ins for pressure build-up tests.

The AIM-traded firm said that as a result, monthly oil and water production was also included for the P7z well.

At the P6 well, oil production totalled 303,000 barrels, with an average oil rate of 10,100 barrels of oil per day.

Water produced from the well during the month came in at 116,000 barrels, with the well’s average water cut being 28%, while the well gauge pressure was 1,657 pounds per square inch absolute (psia).

On the P7z well, oil produced during the month totalled 19,000 barrels, while water production was 83,000 barrels.

“The average Lancaster oil production rate for April was lower than prior months, when the P6 well was producing on a standalone basis in line with the company's near-term production strategy,” the board said in its statement.

“Lancaster is currently producing 11,600 barrels of oil per day from the P6 well alone with an associated water cut of 29%.”

Hurricane Energy also said its full-year results for 2020 would be announced on 25 May.

At 1202 BST, shares in Hurricane Energy were down 11.22% at 0.75p.