Magellan Petroleum Corporation (NASDAQ:MPET, ASX:MGN) announced updates for its Australian operations, including the Dingo Gas Field and the Palm Valley Gas Field, both in the Amadeus Basin.
As quoted in the press release:
The Palm Valley field is expected to increase its run rate production to approximately 1.3 Bcf per year in the quarter ending March 31, 2014, and to produce at its full entitlement under the existing contract of 1.5 Bcf per year during the quarter ending June 30, 2015, when customers already under contract are scheduled to ramp-up demand for gas deliveries. Current net sales volumes average approximately 0.6 MMcf per day, representing approximately 15% of the field’s current production capacity. In an effort to accelerate full production from Palm Valley, Magellan remains in active discussions with other potential customers who may be able to take gas deliveries prior to that date.
Magellan’s President and CEO, Tom Wilson, said:
Since the end of Palm Valley’s long-term sales contract one year ago, we have been working diligently to return Palm Valley to full production and bring Dingo gas to market. Meanwhile, we have been focused on pushing forward with exploration of NT/P82. We are beginning to experience some encouraging results from these efforts, and we believe we are on the right path for delivering value to our shareholders from these assets.