Empyrean Energy, (AIM: EME), the AIM listed oil and gas company with assets in Germany and USA, jumped 35% after announcing initial test results from its TCEI JV Block A-1well on Block A at the Sugarloaf Project in Texas.
Shares in Empyrean have soared over 200% in the last week on the back of several positive updates from Block A and Block B oat the Sugarloaf Prospect, where the company’s working interest ranges from 6% to 18%.
Empyrean said that the TCEI JV Block A-1 well unexpectedly began to flow commercial quantities of gas and condensate during operations to prepare the well for a fracture stimulation and flow testing program. The well flowed at around 0.66 million cubic feet of gas per day and 130 barrels of condensate per day with 45 barrels of water per day.
Executive Director Tom Kelly, added:
"This gas and condensate flow has come as a very pleasant early surprise as the well was not expected to flow without stimulation. We could see a multiple on these production rates if fracture stimulation proves successful. This well also had liner cemented in place whereas future wells are likely to be completed without cement using perforated liner slotted into the open hole. We now have 2 wells flowing commercially from the 5 wells already drilled to date (3 of which are yet to be tested) further de-risking the project."