Test results at Logbaba best expectations for Victoria Oil and Gas

Victoria Oil and Gas (VOG) returned test results "ahead of expectations" at its Cameroonian asset after it had run completion equipment and skidded off the drilling rig from its La-108 well on Wednesday.

The firm advised investors that flow testing of the Lower Logbaba sands had begun and were returning early flow rates of up to 15m standard cubic feet (mmscf) per day with a flowing wellhead pressure of 2006 psi, substantially ahead of the 4mmscf per day achieved at VOG's La-107 well.

Ahmet Dik, VOG's chief executive, said, "It is very pleasing to have reached the end of drilling and completion operations on La-108 and the resultant release of the drilling rig. This milestone marks the end of the major capital spend on these wells as we move into the production phase.

"We have also achieved higher than expected flowrates from the Lower Logbaba sands in La-108. The Production Management Plan for the well is now being prepared by our team and we expect this to be completed by early 2018.

"Naturally, it is important to VOG that we meet short-term demand, whilst aiming to maximise reserves from the field. This will help us meet the growing demand in the Douala market, which management believes will be forthcoming over the longer term," he concluded.

As of 0930 GMT, shares had dropped back 4.81% to 49.85p.