Impress Energy successful test

  The company has now completed the first phase of oilfield development, which involved the construction of a 22km production road, construction of central gathering facilities, plus the tie in of Growler-1 & 2 wells to the central facilities at Cooper Basin, South Australia.The final step, they have just completed, was the installation of pumps on both wells, put the pumps into operation and begin the Extended Production Test (ETP) to gain knowledge of the wells’ output. The EPT should last approximately 100 days, from which we will gain data to proceed to a full overall Growler Development Plan. The benefit from the EPT is not only the knowledge gained about the reservoir extent and deliverability, but also the side benefit of cashflow, (especially at $US100.00 per barrel). The Growler Field is currently producing an average of 160 barrels of oil a day as shown on the chart and has produced over 2500 barrels of oil since production commenced on the 13th of March. When the pumps were installed in late March, it was discovered that the downhole pump anchor at Growler-1 had unseated and this well has been producing under natural flow pending a workover to rectify the problem. This remedial work was completed on the 4th April and production from the well will be steadily increased over the next few days towards the target production level of 300 barrels of oil per day from both wells. Information from their external consultants indicate the Growler Oilfield on its own, at a confidence level of P50, contains 7.7 million barrels of oil in place, with an expected recovery of 1.6 million barrels. On confirmation from the EPT of the field’s productivity in the first quarter of 2008, it is Impress’ intention to suggest that the Joint Venture, as a priority, concentrate on the first phase of the Growler Field Development by drilling further wells and developing facilities with the expectation of achieving production levels 750 BOPD. Impress Energy Ltd is an oil and gas exploration and production company with interests in the Cooper Basin South Australia. The company has 40% equity in four exploration permits and two production licenses.Success at Ventura and Mirage in 2004 in PEL 115 in the Eastern Region has underpinned oil production to date. In 2006 and 2007 attention focused on the Western Margin in PEL 104 and PEL 111 and was rewarded with oil discoveries at Growler and Wirraway. A comprehensive prospects and leads portfolio has been mapped on the Western Margin covering PEL 104 and PEL 111. Impress expects to drill several of these in the next year and aims to extend the oil fairway further to the north into PEL 111.Impress will continue to explore its current portfolio with the aim of minimising risk and maximising return. Opportunities outside of the Cooper Basin will be assessed and pursued if they offer value to the company.