(WO) – Maha Energy AB announced the results of the initial short-term production test on Block 70 in the Sultanate of Oman. All eight production wells drilled in the 2022/2023 drilling program were tested for short term, and five produced oil to surface at an initial estimated average rate of 300 bopd per well, while three had to be suspended after producing water and gas before producing any oil.
Even though more than 4,000 bbl of heavy, high viscosity oil (between 11-13 degrees API) were produced, filling all tank capacity available at Block 70, oil offloading has not yet been initiated. Once it becomes possible to offload the oil currently stored, Maha intends to restart the cold production of wells for further data gathering and production information.
Driven by Maha’s commitment to conclude testing effectively, and to ensure an appropriate and robust request for a potential declaration of commerciality, the Company has requested the extension of the Initial Phase of the EPSA to the Ministry of Energy and Minerals of the Sultanate of Oman (“MEM”).
During the extended Initial Phase, Maha intends to implement activities necessary to support any decision regarding Block 70’s declaration of commerciality, such as running detailed simulations of the long-term behavior of the reservoir and wells at Block 70, restarting the cold production of wells and troubleshoot for the maximum possible sustained rates contingent on reaching specifications, and preparing a detailed plan for enhanced oil recovery, such as steam, waterflooding or other production enhancement methods.
Maha is the Operator of Block 70 with 65% working interest, with Mafraq Energy holding the remaining 35%.
