Candax Energy CAX.to/CXEYF.pk C$.77
Posted: Thursday Jul 31 6:26:41AM 2008
Candax looks to open .06 higher this morning based on the long delayed restart of El Bibane field. Previous production around 1300boepd. El Bibane 3 is producing over 1000bpd so far and the condensate could add another 1000boepd. 70bpd per million mcf X the 14millionmcfpd gas production=980boepd condensate. Plus whatever the Ezzaouia well produces(low risk development well should add 100bpd). This should end up putting Cax.to in the mid 3000boepd range and massively increase cashflow. Bobwins Candax Energy Inc. (TSX:CAX) is pleased to announce the completion of the hook-up of EBB-3 the third and final of the three development wells in the El Bibane field offshore Tunisia. The completion and gas lift was delayed, as commissioning of the gas compressors took longer than anticipated. EBB-3 has been on production test since late last week under natural flow. Production is not yet stabilized as the oil production rates are increasing as the well continues to clean up -- the latest oil production from the well is over 1,000 bopd. The oil production also includes significantly higher levels of condensate which has been separately tested at approximately 70 barrels per million cubic feet of gas, which is almost double the ratio anticipated. We are looking forward to providing further announcements on production rates once stabilized production is achieved and full field optimization is underway. Onshore, the Ezzaouia 17 well has been successfully drilled and is currently being completed. Temporary testing and production equipment to enable fast track production has been mobilized by the operator, to allow the oil to be trucked to the central processing facility. Ezzaouia 17 encountered all of the producing Jurassic zones in the main Ezzaouia field, all of which were interpreted as oil bearing. Net pay of approximately 20 metres was identified, with porosities of about 15% and oil saturations of about 70%, which are similar to previous wells drilled at Ezzaouia.