Strike Energy has suspended operations at the Southern Copper Basin Gas Project.
The firm temporarily shut down work on two of its wells as localised flooding hit the area.
Prior to the suspension Kleb Wells had completed four days of cumulative testingwith 12,000bbls of water produced over the Christmas period while Le Chiffre 1 had undergone 31 days of cumulative testing and produced 32,500 bbls of water.
A spokesman for the company said: “While the current rain delay is frustrating, we are still well ahead of our expectations and on track to continue to build production once we are able re-commence operations. We expect to be able to get back into production quickly and we will use this time to refine our production testing program.
“The maintenance of sustained gas flows from both the Le Chiffre 1 and Klebb 1 wells along with the flaring of gas at the Le Chiffre location are further milestones for Strike. We are particularly encouraged by the very high gas saturations at Le Chiffre, which has a number of extremely positive implications for the play.”