Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Dragon Oil completes 3 well tests for total of 5,000 bopd

Turkmenistan operating Dragon Oil (LON:DGO) announced the completion and initial testing of three wells, the Dzheitune (Lam) 13/144 & 28/146 development wells and the Dzheitune (Lam) A/129 sidetrack. Collectively, the three wells initially tested at over 5,000bopd (barrels of oil per day).

With six of the company’s 11 planned new wells now complete, the company said it is on target to successfully complete the programme in 2010.

Dzheitune (Lam) 13/144 was drilled to 3,434m and tested at an initial rate of 1,809bopd. Dzheitune 28/146 was drilled to a depth of 3,200m and tested at 2,311bopd. The Dzheitune A/129 sidetrack well was the final scheduled work-over for the 2010 programme; the sidetrack was drilled to 1,815m and it initially tested at 1,140bopd.

"I am delighted to report the successful completion and initial testing of both the Dzheitune (Lam) 13/144 and 28/146 development wells together with the sidetrack of the Dzheitune (Lam) A/129 well.  This brings us to a total of six new development wells to date this year and we remain on target to complete 11 new wells in 2010", Dragon Oil chief executive Dr Abdul Jaleel Al Khalifa commented.

Dragon Oil operates a Production Sharing Agreement (NYSE:PSA) for the Cheleken Contract Area. Through the PSA, the company was granted a production licence for the exploration and development of the oil and gas resources in the Cheleken area for of 25 years. The PSA became effective on 1 May 2000.

Cheleken comprises two off-shore oil and gas fields, the Dzheitune (Lam) and the Dzhygalybeg (Zhdanov), which are situated in water depths between 8 and 42 metres. The company’s primary operational focus is on the re-development of these two producing fields, which were discovered during the Soviet era in Turkmenistan.

Disclosure: The author holds no positions in the company