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Golden Gate Petroleum Successfully Completes SRH-6 Well At Permian Project

Golden Gate Petroleum (ASX:GGP) has successfully completed the SRH-6 well at its Permian project in Texas, with the well reaching 8,355 feet after penetrating the Spraberry, Dean and three benches of the Wolfcamp intervals.

Gas shows with readings above 3,000 units were seen across the intervals with oil florescence also recorded across the primary targets in addition to oil shows on the surface.

The SRH-6 well is located on the same lease as four vertical wells, where Golden Gate has the rights to all formations down to the Strawn interval. The lease contains 5 million barrels of 1P and 2P reserves, which the company has already booked.

While no reserves have yet been booked for the Wolfcamp, Golden Gate is hoping to re-examine and potentially upgrade reserves based on the production history of SRH-6 vertical and 5H horizontal wells.

Meanwhile, it has converted the 5H well to a gas lift system replacing the original electrical submersible pump, which was experiencing difficulties due to early breakthrough of gas and oil.

The initial 24 hour test recorded 244 barrels of fluid, with 188 barrels of oil and 246 million cubic feet of gas. The company believes the high level of oil recovery is most likely due to the oil accumulation around the well bore while the well was shut in for the change over from the ESP to gas lift system.

Prior to the gas lift test, the pump system had produced about 1,500 barrels of oil and gas.

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