Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Zenith Energy (LON: ZEN) has seen its shares rise after it reported that workover of the Robbana-1 well (ROB-1) is progressing successfully.
The ROB-1 well is located in the Robbana concession, onshore Tunisia.
ROB-1 has not undergone any form of well intervention since 2012 and was producing at a stabilised rate of approximately 20 barrels of oil per day (bopd) before the start of workover operations.
Zenith said the well completion string has been fully pulled out of the wellbore, encountering approximately 200 hundred meters of paraffin and wax deposits cleared by reverse circulation using diesel fuel.
The company will proceed with the bottom the hole cleaning and scraping of the casing to be followed by installing a new tubing anchor and sucker rod pump supplied by Weatherford. The operations are expected to end during the next 10 days.
If successful, Zenith expects a new stabilised production rate in a range between approximately 60-80 bopd.
“The team looks forward to successfully completing Zenith's first well intervention in Tunisia. A projected increase of approximately 40-60 barrels of oil per day will, in the current high oil price environment, result in significant additional revenue and associated profitability,” said Andrea Cattaneo, CEO of Zenith.
Zenith Energy shares are up 3.16% at 1.11p on Tuesday.
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