(MENAFN- ProactiveInvestors - Australia) Sun Resources (ASX: SUR) has recommenced oil production at its Ellis-1H well within the Richland Oil Project in Texas with a jet pump now installed and being commissioned to increase the oil rate.
The company has begun work over operations on the Richland Project's four oil production wells.
At Ellis-1H, the jet pump that has been installed can extract 1,800 barrels of fluid (oil, fracc fluid and water) per day.
Clean-up and flow back operations re-commenced on 13 March with a hot oil treatment to remove paraffin, followed by one day of swabbing to restore natural flow of oil and frac fluids from the well.
At peak rates, the Ellis-1H well flowed naturally at a rate of up to 700 barrels of fluid per day with up to 40% oil cut.
The jet pump has now been installed after the well was swabbed and the well has flowed back naturally for four days.
At Beeler-1H, the well is being swabbed with ongoing oil production ahead of the installation of a rod pump to assist with paraffin clean out and improve fluid recovery in the well.
The well was fracced with more than 130,000 barrels of fluid, and to date around 11% of those fraccing fluids have flowed to surface.
The installation of a rod pump is expected to expedite frac fluid recovery.
Clean-up and flow back operations have recommenced at the John Beeler-1H and John Beeler-2 wells to recommence oil production.
This will determine the best pump option to be utilised at each of the John Beeler wells.
To date about 17 to 21% of fraccing fluids have been recovered from the Woodbine section of both wells.
Sun's working interest in the Beeler-1H well is 13.5417%, while in the John Beeler-1H, John Beeler-2 and Ellis-1H Sun holds a 16.67% working interest.
Amerril Oil Project
At the Seale-1H well, Sun's fifth horizontal Woodbine well, drilling of the lateral section has been completed.
The current operation is completing thru-bit logging ahead of running production casing to a total depth of 15,277 feet depth, resulting in a horizontal section of about 7,100 feet.
This will be followed immediately by the mulit-stage fraccing of the well.
Given the very strong oil shows seen in the vertical Seale-1, the Seale-1H well has been prioritised as the first well to be fracced at the Amerril Oil Project.
The T.Keeling-1H well has now been cased and is awaiting fraccing and flow back operations.
The lateral well was recently logged using thru-bit logging tools and Sun's interpretation of those logs supports the potential for high quality oil pay in the well.
This is scheduled to begin immediately after the fraccing of Seale-1H.
Sun has a 50% working interest in the Seale-1, Seale-1H and T. Keeling-1H wells.
The company is well funded with A$8.4 million in cash at the end of December 2012.Â
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