Brookside Energy Ltd (ASX:BRK) is continuing to witness outstanding production results from its non-operated development activities within the STACK Play acreage in the world-class Anadarko Basin, Oklahoma.
This horizontal well producing from the Meramec formation delivered an initial production rate (IP24) of 1,319 barrels of oil equivalent (65% oil).
These initial results are very encouraging and are expected to support ultimate recoveries at the upper end of the range of estimates for Brookside’s STACK Play acreage.
The well has now been online for almost three months and Brookside will provide further detail on sustained production results and cash flows in the third quarter.
Outstanding results from pilot study acreage
Brookside managing director David Prentice said: “While our focus more recently has been on the significant progress, we are making in our SWISH AOI in the SCOOP Play, it is very pleasing to see outstanding results continuing to emerge from our STACK Play ‘pilot study’ acreage.
“The opportunity that comes from this acreage position, in terms of our ability to choose to monetise part of this asset through participation in development and receive the cashflow is exciting and is an important leg to our value proposition.
”It also highlights the strength of our business model that enables us to realise value at various points along the oil and gas development path, from acreage sales or swaps early in the cycle to participation in development and cashflow and ultimately to a sale when the full value of the acreage positions reserve potential may be realised.”