Zephyr Energy, the Rocky Mountain oil and gas company, has provided an update on operations on the State 36-2 LNW-CC well at the Company's flagship project in the Paradox Basin, Utah, U.S.
Commencement of State 36-2 well production test
On 8 March 2023 the Company announced, amongst other matters, that planning for the State 36-2 well production test had completed and that all services for the test have been procured.
The Company is pleased to announce that a Zephyr-contracted service rig has now been mobilised to the well-site and operations on the ground have commenced. This has been achieved in spite of the difficult winter weather conditions recently encountered in Utah.
Workover operations (which will include perforating the well in the productive portion of the Cane Creek reservoir) and subsequent production testing are estimated to take four to six weeks, with the ultimate timeline dependent upon field conditions.
As the well is expected to flow from natural fractures, no hydraulic stimulation is expected at this time. The production testing is therefore expected to be completed quicker than the equivalent testing on the Company's hydraulically stimulated State 16-2 LN-CC well (as there are no significant completion fluids to flow back during well clean-up operations).
The production test will be paid for from the Company's existing cash resources.
Colin Harrington, Zephyr's Chief Executive, said:
'I am pleased to announce our continued progress on the State 36-2 well, especially in light of the challenging weather conditions, and I want to thank our operations team for continuing to move the project forward in a safe and effective manner.
'We look forward to the results of the production test, which we expect will provide critical information to help us determine the optimal development programme for the Paradox project.
'We look forward to updating Shareholders once the test has been completed.'
Source: Zephyr Energy