Pan Orient Energy has released is 2019 first quarter consolidated financial and operating results, during the quarter two appraisal wells were drilled.
Pan Orient Energy (TSXV:POE ) has released is 2019 first quarter consolidated financial and operating results, during the quarter the company was able to drill two successful appraisal wells.
As quoted from the press release:
Commenting today on Pan Orient’s 2019 first quarter results, President and CEO Jeff Chisholm stated: “2019 is shaping up to be one of the Company’s best years in recent memory with strong cash flow from Concession L53 generated from the recent L53 DD oil field discovery supporting significant, potential exploration upside in Thailand that will commence in July 2019 and Indonesia exploration drilling that will commence in August 2019.”
Thailand (net to Pan Orient’s 50.01 percent equity interest in the Thailand Joint Venture) Two successful Thailand appraisal wells were drilled in the first quarter of 2019 as follow-up to the discovery of the Concession L53-DD field in the fourth quarter of 2018. The L53-DD Production License was approved on April 22nd and these two wells, plus the original L53-DD1 and L53-DD2 wells, were put on production April 25th.
Net to Pan Orient’s 50.01 percent equity interest in the Thailand Joint Venture, oil production from Concession L53 averaged 1,412 BOPD during the 10 day period from April 27th to May 6th with 1,234 BOPD from the four L53-DD wells that commenced stable production on April 27, 2019.
Strong financial results in Thailand during the first quarter of 2019. Net to Pan Orient’s 50.01 percent equity interest in the Thailand Joint Venture, oil sales increased to 507 BOPD, adjusted funds flow from operations was US$2.8 million (US$60.35 per barrel) and working capital and long-term deposits at March 31, 2019 were US$6.3 million.
Indonesia East Jabung Production Sharing Contract (Pan Orient is non-operator with a 49 percent ownership interest)
East Jabung Production Sharing Contract (“PSC”) received approval on January 11, 2019 for a four year exploration extension period to January 20, 2023 with a remaining area of 1,245.56 square kilometers, representing 20 percent of the original PSC area.Construction of the access road and wellpad for the Anggun 1X exploration well at the East Jabung PSC in Indonesia is proceeding. The operator has advised that the estimated rig mobilization date is approximately July 1, 2019 with drilling to commence approximately August 1, 2019.
On January 22, 2019 Pan Orient received the net $3.0 million refund from the Government of Indonesia relating to Pan Orient’s successful appeal of the 2013 and 2014 Land and Building Tax assessment.