Operations Kairiki Energy Limited SC 54A Tindalo Update

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Kairiki Energy Limited (ASX: KIK.AX) (PINK:KAIRF) has been advised by Nido Petroleum Limited (ASX: NDO.AX) of the update on the Extended Well Testing (EWT) at Tindalo.

Kairiki Energy is a Perth based company listed on the Australian Stock Exchange. Kairiki’s corporate strategy is to acquire oil and gas interests in proven oil and gas basins. Currently, Kairiki has oil and gas interests in the Philippines, Tunisia/Italy and Romania. Kairiki has assembled a very experienced Board of Directors and management team to achieve its objectives. The Directors have over 70 years experience with major oil and gas companies working the world’s major petroleum basins.

Well testing is continuing under the EWT agreement. As previously advised the EWT is for a period of 100 days of actual crude flow/production time or one million barrels of crude production, whichever occurs first.

The programme is designed to evaluate well performance and determine the long-term reservoir management plan for optimisation of reserves and value during the normal production phase beyond the EWT term. The following highlights can be confirmed to date:
- Approximately 75,000 barrels of oil have been produced from the well;
- Ongoing commissioning of the production processing equipment has required the well to be produced intermittently and at a restricted rate of approximately 6000 barrels of fluid per day;
- The processing equipment provider, Weatherford Asia Pacific Pte Ltd, has mobilised additional specialists to accelerate commissioning activity onsite; and
- Water sample analysis has confirmed that the produced water is formation water.

The current well testing program is to startup the downhole pump (ESP) whilst finalising commissioning of the processing equipment. The well will be tested at several fluid rates and will be occasionally shut-in for data gathering purposes over the following days and weeks to evaluate the longer-term water cut development and well performance.

Nido will provide further updates to the market once the reservoir management plan has been finalised or when other material information becomes apparent. Updates on Tindalo oil development, kariki oil and gas, ndo petroleum