Gas Plus Khalakan (GPK) has completed testing its Shewashan-2 development well in the Kurdistan Region of Iraq.
The well was spud in the Shewashan oil field on October 1 last year. It was drilled to 2768m at a cost of $19.5million.
The well flowed with very low drawdown at a maximum rate of 4,400 barrels of oil per day (bopd) and deemed “very high quality”.
Stephen Lowden, chief executive of New Age, said: “GPK is delighted with the progress of the Shewashan development and with the continued support from the KRG and the improving conditions in Kurdistan.”
GPK will now carry out the recompletion of the Shewashan-1 well as a deviated producing well. Phase 1 production will be processed through a 10,000 bopd Early Production Facility (EPF) with total storage capacity of 30,000 bbls and water handling of up to 3,000 bwpd.
The total Phase 1 capital investment budget is $77million.