Providence to boost production at UK field

Listed oil and gas exploration company Providence Resources said today that production at its Singleton oil field in the UK, is expected to exceed 1,000 BOEPD (barrels of oil equivalent per day) during 2010.

The production increase is expected to be achieved through a phased programme of activities on the field, the Tony O'Reilly jnr firm said in a statement this morning.

Recent technical studies at Singleton have revealed a number of further infill drilling opportunities which would further enhance both the production rates and ultimate reserve potential.

Providence has high-graded a location in the western part of the south fault block for a new development well and planning operations for drilling of the well is to begin during the first half of 2010. Studies undertaken at the field indicate that initial flow-rates of up to c. 400 BOEPD could be achievable due to the extra reservoir exposure, together with the higher reservoir pressures expected in this area, the firm said.

It added that it is currently in discussion with rig operators for a new well at the site.

A production enhancement programme has also been announced for the fourth quarter of 2009, which Providence forecasts, will yield up to c.100 BOEPD of increased production in the short term. It is also undertaking a Gas-To-Wire project at Singleton to monetise c. 200 BOEPD of gas production

“Building on our recent success during the spring, with the new SNX-10 well, we continue to progress with our re-development of the Singleton Field. By applying cutting edge technology to Singleton through sub-surface modelling, extended reach geo-steered wells, and applying fracturing and stimulation techniques, we plan to exceed our target of producing over 1,000 BOEPD during 2010," said Providence CEO Tony O'Reilly jnr.

“Our ultimate aim is to maximise production, as well as reserve potential, whilst also ensuring that Singleton is one of the best managed oil fields onshore UK,” he added.