AIM-listed Beacon Energy has announced that the E202 drilling rig contracted to its wholly-owned subsidiary, Rhein Petroleum, is expected to mobilise on 12th June for the planned Schwarzbach-2 ('SCHB-2') development well within the Erfelden field, onshore South West Germany. This rig is fully-crewed and has been contracted from RED Drilling & Services.
The rig is scheduled to be on location and operational by 19th June. Drilling operations are expected to take in the region of 25 days to reach the prognosed TD drilling depth of 2255m (1709m True Vertical Depth), with an additional 12 days planned for reservoir clean-up and production testing.
The drilling pad is located next to the Schwarzbach facility which is owned and operated by Rhein Petroleum and it is anticipated that once completed, the SCHB-2 well will be tied-in to these existing production facilities to enable immediate production from the well.
Larry Bottomley, Chief Executive Officer of Beacon Energy, commented:
'The Rhein Petroleum team is doing an excellent job in conjunction with RED Drilling to enable the start of the drilling programme so quickly after the RTO and the readmission of the Company on to AIM. This well is the first of potentially four development wells to be drilled at Erfelden over the following 2 years and is the next step in delivering the self-funding business model created by the acquisition of Rhein Petroleum.
The SCHB-2 well represents a material value catalyst for Beacon. In the success case, this well will deliver a step-change in production and cashflow which will enable the Company to fund further value enhancing activity across the portfolio. We look forward to providing further updates on the progress of the SCHB-2 well as appropriate.'
Background
Rhein Petroleum holds a 100% interest in the Schwarzbach Production License, covering 8.8 sq km (2,184 acres) in the Schwarzbach licence which sits in the German state of Hessen. This field was discovered by Rhein Petroleum in 2015 when the Schwarzbach-1 well ('SCHB-1') discovered oil in the Oligocene Pechelbronner-Schichten ('PBS') sandstones in a N-S trending structural high at around 1700m depth. Click here for further info.
Source: Beacon Energy
