Hawkley Oil & Gas Sorochynska Well #201 – Full test results

abarrelfullabarrelfull wrote on 25 Nov 2010 13:46
Tags: asx gas hawkley ukraine

Latest News

{"module":"feed\/FeedModule","params":{"src":"http:\/\/killajoules.wikidot.com\/feed\/pages\/pagename\/blog%3A_start\/category\/blog\/limit\/10\/t\/My+Blog","limit":"3","module_body":"* %%linked_title%%"}}
  • Want a weekly review of refining news?

Hawkley Oil & Gas Limited (ASX: HOG) is pleased to provide the official test results of the recent commercial flow tests at Sorochynska Well #201 in Ukraine’s Dnieper Donets basin.
Following on from the recent announcement outlining the Company’s initial interpretation of the results, chemical analysis of the gas and liquids has provided a far clearer picture of the potential of the well.

The Company originally anticipated flow rates of 4 million standard cubic feet per day (mmscfpd) and 120 barrels of condensate per day (bblspd). Hawkley Oil & Gas CEO Richard Reavley said the results were a good example of what is achievable in Ukraine. ‘We specifically target assets that have a discovery or production history where we feel better engineering and working practices can produce better results than has been achieved in the past,’ he said. ‘There is still a lot of work to do and a long way to go but we are committed to achieving further results of this nature.’

A summary of the test results are shown below. The testing was completed by TEP, the State commercial testing company.

Choke Size Gas Condensate Total
mm cubic meters thousands cubic feet* Cubic meters Tonnes** Barrels* Barrels of Oil Equivalent**
8 294,300 10,389 47 38 296 2,028
9 356,100 12,570 62 50 392 2,488
10 425,000 15,003 98 79 616 3,117
11 500,800 17,678 133 107 836 3,782
12 546,300 19,284 139 113 878 4,092
  • *1 cubic meter : 35.3 cubic feet
  • ** 1 cubic metre condensate : 0.807 tonnes condensate
  • * 1 cubic metre condensate : 6.3 barrels condensate
  • ** 1 barrel condensate : 1 barrel of oil equivalent,
  • 6,000cf gas : 1 barrel of oil equivalent

Mr Reavley said the results were much better than expected. ‘These results have certainly exceeded our original expectations of 4 million cubic feet of gas per day and 120 barrels of condensate per day,’ he said. ‘The next step is to run further tests, most likely on a 9mm choke, and to begin analysis of the results that will determine the reserves in the reservoir.’

Mr Reavley said it was important to note that the above results represent a flow test to atmosphere. ‘Flow rates to the gas plant via the pipeline will be inhibited to some extent. Sales gas is generally expected to run at around 92 per cent of separator gas,’ he said.
Hawkley recognises that some investors may be unfamiliar with the gas price and fiscal regime in Ukraine, and how different gas and condensate production rates translate into financial performance. The Company intends to provide additional guidance in respect to the financial outcomes of various production scenarios in the next few days.

Sorochynska Well #201 - Operational Update

In conjunction with further testing, the Company has commenced laying the pipe to connect Well #201 to the local gas plant. To date, 2km of the 9km of pipe has been laid. Installation of the gas processing equipment at the plant has also begun.


In addition to the works at Sorochynska, Hawkley is in the process of preparing for the first well at Chernetska. A full project update on Chernetska will be provided soon. The current timetable is as follows:

  • Well plan – approved
  • Environmental approval - granted
  • Land access - granted
  • Drilling contract – completed
  • Pipe, casing, mud, additives, drilling bits etc contracts and supply – in progress
  • Site preparation – commenced
  • Drilling rig mobilisation – after Christmas

In order to accelerate the progress of the well ahead of revenue from Sorochynska Well #201, Hawkley has secured a loan facility of US$1.25 million. The purpose of the loan is to facilitate the site preparation and the building of a road ahead of rig up early next year.

Unless otherwise stated, the content of this page is licensed under Creative Commons Attribution-ShareAlike 3.0 License