Serinus Energy preparing to start operations at CTF-04

Serinus Energy announced on Friday that the CTF-04 rig had completed rig up, and was now preparing to start operations.

The AIM-traded firm said the operation would install the first submersible pump into the Sabria W-1 well, as part of its artificial lift programme for the Sabria field.

It said completion of the planned operation was expected to take 60 days.

“Independent engineering analysis by SGS has determined that a successful workover and pump installation has an estimated initial mean increase in gross production of 796 barrels of oil equivalent per day,” the board said in its statement.

“Upon completion of the workover and pump installation at Sabria W-1, the rig will immediately move to the Sabria N-2 well to perform a workover to recomplete the well.

“This well was drilled in 1980 but was damaged during completion and, although in proximity to producing wells, was not able to flow oil to surface due to damage during completion.”

Serinus said the workover programme would re-complete the well, and remove any wellbore restrictions.

“Sabria is a large, conventional oilfield which the company's independent reservoir engineers have estimated to have approximately 445 million barrels of oil-originally-in-place.

“Of this oil-in-place only 1.0% has been produced to date due to a low rate of development on the field.

“The installation of artificial lift in the Sabria wells and the recompletion of the N-2 well is expected to result in a material increase in Sabria oil and gas production.”

At 1435 GMT, shares in Serinus Energy were up 2.7% at 9.5p.

Reporting by Josh White for Sharecast.com.