Northern Petroleum provides update on Canadian Operations

Northern Petroleum provides update on Canadian Operations

Northern Petroleum (AIM: NOP) provides the following production update on the three wells in north west Alberta, Canada. As announced on 3 April 2014, all the wells were successfully drilled and completed as planned and operations then moved to a production testing phase.
Highlights
* Production results support the development of the Keg River play as part of the low risk production led growth strategy
* 13-33 and 14-22 both currently producing at a combined test rate of 280 bbls/d
* 16-19 initially produced as expected; a cemented liner now needs to be run to replace the inflatable packer and isolate the water aquifer below the oil column
* Production being trucked and sold locally at a sales price of approximately Cdn$96 per barrel
* Short and medium term development of the play underway with three new wells planned in the summer
Keith Bush, Chief Executive Officer, commented:
“These drilling and production results support our belief that the redevelopment of the Keg River play will become a material source of production, cashflow and value to the business. The data available allows engineering analysis that can mitigate downside risk, reinforces the primary recovery potential and supports the evaluation of the potential for significantly greater recovery through water flood. Development in the Virgo area is relatively low risk and within the Company’s control; a clear fit with the Company’s pursuit of a production led growth strategy.”

#FOLLOW US ON INSTAGRAM