Jadestone resumes full production at Australia's Montara

Asia-Pacific oil and gas company Jadestone Energy announced on Wednesday that full production has resumed at the Montara Project, offshore Australia.

The AIM-traded firm said production had been running at reduced rates in recent weeks, following an engine failure in the gas reinjection compressor.

It said the engine was replaced and gas lift reinstated, allowing for full production to be restored at rates seen immediately prior to the gas compressor fault.

“A key element of our strategy to increase efficiency and uptime at Montara is availability of key spares,” said president and chief executive officer Paul Blakeley.

“Having a spare gas reinjection compressor engine core on hand allowed us to effect timely repairs, thereby limiting the period of reduced production.

“Our offshore team has worked diligently and safely to carry out this significant maintenance activity, with full production now restored as oil prices strengthen above $100 per barrel.”

At 1301 GMT, shares in Jadestone Energy were up 7.22% at 104p.