Eni wraps up Guendalina sidetrack (Italy)

Italian oil company Eni has completed the sidetrack well GU2-Dir A at the Guendalina gas field in the Northern Adriatic, offshore Italy.

Eni is the operator with 80% interest, while Rockhopper Exploration has 20% interest in the field.

To remind, Eni found more gas at the sidetrack well in its Guendalina field in September 2015.

According to Rockhopper, the well reached a planned total depth of 3,276m. All target horizons within the Pliocene were gas-bearing and penetrated in an up-dip position with anticipated reservoir characteristics. Additionally, two deeper gas levels were encountered that have been perforated as part of the dual string completion, Rockhopper said.

The company also added that the rig moved off location on November 4 and production has now resumed. Total production from the field is stabilised at approximately 440,000 standard cubic metres (scm) per day gross, 88,000 scm per day net to Rockhopper (580 barrels of oil equivalent (boe) per day), representing an increase of 190% from the last reported rates of approximately 200 boe per day net.

At current gas prices and exchange rates, Rockhopper says it anticipates revenue from Guendalina, net to the company, of approximately $7 million in 2016.

Sam Moody, Chief Executive Officer, commented: “We are delighted with the results of the sidetrack operation, which has delivered the Company a material increase in our daily production, added to which we anticipate that we should be commencing production on our 100% operated onshore gas development Civita by the end of this year. This boost to revenue and cash flow also reinforces our strong financial position and demonstrates real progress in the building of our Greater Mediterranean portfolio post the acquisition of Mediterranean Oil & Gas plc.”