Panoro Energy in its third quarter 2016 financial results and operational update on asset offshore Nigeria announced that production from the Aje oil field continues to be restricted by the performance of the Aje-5 well which requires subsurface intervention to repair a mechanical problem.

According to Panoro, preparations for the Aje-5 intervention program have begun with the acquisition of long lead items and rig contracting.

The company added that the programme is slated for December 2016 and is designed to fix mechanical issues with the completion of the well.

“The Aje-4 well meanwhile produced throughout the quarter and continues to perform better than anticipated in our earlier modelling. On average the Aje field produced at just over 600 barrels of oil per day net to Panoro during the quarter,” it said.

Panoro noted that the availability of gas lift system on the Front Puffin FPSO to enhance production rates was constrained and some alterations and repair to the components of the system have been required.

The interruption in the usage of the gas lift system affected production in Q3 and will also affect the production expected in Q4.

“It is expected that the Aje field will be producing regularly at our earlier stated target rates of 7,000-9,000 barrels of oil per day once the Aje-5 well is successfully brought back on line which we anticipate to be in early 2017,” Panoro said.

The company said the Aje gas development project, which includes the production and sales of gas and liquids from the 163 Mmboe Turonian reservoir, is currently passing through concept definition towards a Field Development Plan and “we expect to submit detailed plans for the project for approval during the first half of 2017.”

Anita Fatunji