Shares in Egdon Resources climbed more than 30% today as the firm and its partners reported first oil from the Wressle project, onshore UK, was approaching fast.
London-listed Egdon said the workover rig and associated services and equipment were mobilised to site in North Lincolnshire last week.
Operations to recomplete and reperforate the well have commenced, meaning the Ashover Grit reservoir should be flowed before the end of January.
The reservoir is expected to produce at a constrained rate of 500 barrels of oil per day, increasing Egdon’s production by 150 bopd when fully on stream.
Egdon shares were up 21.88% to 1.95p as of 2:30pm.
The Wressle-1 well was drilled in 2014 and tested in 2015.
During testing, 710 barrels of oil equivalent per day were recovered from three separate reservoirs: the Ashover Grit; the Wingfield Flags; and the Penistone Flags.
Egdon is the licence operator with a 30% stake, Union Jack Oil has 40% and Europa Oil and Gas 30%.