TWO LOWRY WELLS CONNECTED.
100%
SUCCESS RATE FROM DRILLING IN EX PEL 91.
ARNO-3 WELL
SUCCESSFUL.
Trading Symbol: NWX (TSX-V)
VANCOUVER, Jan. 29, 2020 /CNW/ - Newport Exploration Ltd
("Newport" or "the Company") is pleased to provide an update on
production and drilling activities on licenses in the Cooper Basin,
Australia over which the Company
has a 2.5% gross overriding royalty ("GOR"). This information was
reported by Beach Energy Ltd ("Beach") (ASX: BPT) in its FY2020
Second Quarter Activities Report dated 29th January,
2020.
Production
Beach report that their quarterly oil production from ex PEL 91
increased 16%, with ex PEL 91 reporting production of 1,556kboe, up
from 1,337kboe in Q1.
Beach's Western Flank gas liquids production from ex PEL's
91/106 was 545kboe, 6% higher than the prior quarter as two
high-liquids content Lowry wells were connected and facility
reliability was maintained at greater than 99%.
Field work continues to support higher liquids production
rates.
Drilling
Highlights of Beach's drilling program include a 100% success
rate from nine oil development wells across the Bauer, Kalladeina
and Chiton fields in ex PEL 91. The wells comprised three vertical
and six horizontal wells, including a horizontal well with the
longest lateral length drilled by Beach in the Western Flank to
date at 1,629 metres. At quarter-end, one horizontal well was
drilling ahead.
At the Bauer Field in ex PEL 91, the Bauer Northwest-2 and -3
appraisal wells were cased and suspended as future producers. The
results from these wells indicate a northerly extension of the
Bauer Field. Utilizing production data from the wells, the
potential for future appraisal and development drilling will be
evaluated.
At the Arno Field in ex PEL 91, the Arno appraisal drilling
campaign was completed with the Arno-3 well also being cased and
suspended as a future producer.
Oil Price
Beach report that the average realized price of oil for the
Quarter increased 3% to AUD$105.9/bbl.
Guidance
The Company receives its gross overriding royalty from Beach, which
is not a reporting issuer in Canada, therefore Newport is not able to confirm if the
disclosure satisfies the requirements of NI 51-101 - Standards of
Disclosure for Oil and Gas Activities, or other requirements of
Canadian securities legislation.
The Company is unable to forecast potential productivity for
each well and continues to strongly encourage shareholders and
potential investors to access information released independently by
Beach and Santos Ltd.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the accuracy or
adequacy of this news release.
Cautionary Statement on Forward-Looking Information
This news release is intended to provide readers with a
reasonable basis for assessing the future performance of the
Company. The words "believe", "should", "could", "expect",
"anticipate", "contemplate", "target", "plan", "intends",
"continue", "budget", "estimate", "may", "will", "schedule" and
similar expressions identify forward-looking statements.
Forward-looking statements may pertain to assumptions regarding
Beach's drilling plans, the price of oil and fluctuations in
currency markets (specifically the Australian dollar).
Forward-looking statements are based upon a number of estimates and
assumptions that, which are considered reasonable by the Company,
are inherently subject to business, economic and competitive
uncertainties and contingencies. Factors include, but are not
limited to, the risk of fluctuations in the assumed prices of oil,
the risk of changes in government legislation including the risk of
obtaining necessary licences and permits, taxation, controls,
regulations and political or economic developments in Canada, Australia or other countries in which the
Company carries or may carry on business in the future, risks
associated with developmental activities, the speculative nature of
exploration and development, and assumed quantities or grades of
reserves. Readers are cautioned that forward-looking statements are
not guarantees of future performance. There can be no assurance
that such statements will prove to be accurate and actual results
and future events could differ materially from those acknowledged
in such statements.
The Company disclaims any intention or obligation to update or
revise any forward-looking statements whether as a result of new
information, future events or otherwise, except to the extent
required by applicable laws.
SOURCE Newport Exploration Ltd.