Bankers Petroleum Operational Update for the Second Quarter 2013
17:35 EDT Thursday, July 04, 2013
Average Quarterly Production 17,800 bopd
CALGARY, July 4, 2013 /CNW/ - Bankers Petroleum Ltd. (Bankers or the Company) (TSX: BNK) (AIM: BNK) is pleased to announce the Company's second quarter operational update.
Production, Sales and Oil Prices
Average production from the Patos-Marinza oilfield in Albania for the second quarter of 2013 was 17,800 barrels of oil per day (bopd), 5% higher than 16,919 bopd in the first quarter. Oil sales during the quarter averaged 18,008bopd, 8% higher than the previous quarter average of 16,605 bopd. The crude oil inventory at June 30, 2013 was 330,000 barrels, 10,000 barrels less than 340,000 barrels at March 31, 2013.
The Patos-Marinza second quarter average oil price was approximately $80.36 per barrel (representing 78% of the Brent oil price of $102.44 per barrel), as compared with the first quarter average oil price of $88.70 per barrel (representing 79% of the Brent oil price of $112.57 per barrel).
For the six months ended June 30, 2013 oil sales were 17,310 bopd ($84.34 per barrel) an increase of 26% from 13,724 bopd ($80.57 per barrel) for the comparable 2012 period.
Drilling Update
Thirty-nine (39) horizontal wells were drilled and rig released during the second quarter in the main area of the Patos-Marinza oilfield: thirty-five (35) horizontal production wells and four (4) horizontal lateral re-drills. Thirty-four (34) of these wells were completed and are on production, and the remaining five (5) will be placed on production in July.
The Company continues to focus on pad drilling within production fairways and ongoing legacy vertical well remediation, where necessary, ahead of the program. Pattern development drilling for secondary recovery techniques in the Marinza and Lower Driza zones has continued in the second quarter.
Secondary and Tertiary Recovery Program
The Company progressed with the first polymer flood pilot, converting a second well to injection. With continued satisfactory results, a further three wells are expected to be converted in the third quarter. Contingent on pilot results, commercial polymer preparation equipment has been sourced for delivery in 2014. A water flood pattern was also initiated with the first well converted and placed on injection early in the quarter and a second well converted and placed on injection in July.
Block "F"
The exploration well in Block "F" was spudded June 30th, 2013, and is expected to take 21 days to drill. This is the second exploration well in Block "F" and will complete Bankers two well obligation on the block.
Infrastructure Development
Key 2013 infrastructure projects including flow lines and satellite treatment facilities, tank storage expansion, and sludge treatment facilities commenced construction at Patos-Marinza in the second quarter and will continue throughout the balance of the year.
Updated Corporate Presentation
For additional information on this operational update, please see the July 2013 version of the Company's corporate presentation at www.bankerspetroleum.com.
Conference Call
The Management of Bankers will host a conference call on July 5, 2013 at 7:00 am MDT to discuss this Operations Update. Following Management's presentation, there will be a question and answer session for analysts and investors.
To participate in the conference call, please contact the conference operator ten minutes prior to the call at 1-888-231-8191 or 1-647-427-7450. A live audio web cast of the conference call will also be available on Bankers website at https://www.bankerspetroleum.com or by entering the following URL into your web browser https://www.newswire.ca/en/webcast/detail/1136995/1240855
The web cast will be archived two hours after the presentation on the website, and posted on the website for 90 days. A replay of the call will be available until July 19, 2013 by dialing 1-855-859-2056 or 1-416-849-0833 and entering access code 99227901.