ADX’s Anshof-2 appraisal well could add 300 barrels per day to Anshof field oil production

ADX Energy spuds key Anshof-2 appraisal well that could deliver both increased Anshof field oil reserves and production
Well could add 300bpd to Anshof field oil production that was producing at a facility constrained rate of  120bpd from the Anshof-3 discovery wellPreparations ar ongoing  for drilling of the Anshof-1 development  well
A new production facility will be installed that can produce up to 3,000 barrels of oil per day. The facility will be used to produce oil from the Anshof-3, Anshof-2 and planned Anshof-1 well.

Special Report: ADX Energy could soon see a marked increase in both oil production and reserves at its Anshof field in Upper Austria following the spud of its Anshof-2 appraisal well.

Anshof has been a winner for the company since its successful discovery in January 2022 and the start of production from the Anshof-3 discovery well in October the same year.

While oil production has been constrained at about 120 barrels per day (bpd) due to the use of a rented early production system, the discovery was still enough for ADX Energy (ASX:ADX) to define a not inconsiderable proved and probable (2P) reserve of 5.2 million barrels of oil equivalent (MMboe).

However, this represents just part of the broader area covered by the field, which has large audited 3P (proved, probable and possible) reserve as well as 3C (high estimate) contingent resource upside of some 26MMboe.

ADX has commenced drilling Anshof-2 then plans to drill  Anshof-1 well to further test the rest of the field and deliver greater reserves and production.

As part of the development plans for Anshof, the Company also started mobilising permanent production facilities to the field that will have a total capacity of 3,000bpd, providing ample capacity to rapidly scale up field development.

Drilling underway

Drilling of Anshof-2 in the ADX-AT-II licence is now underway with ADX having a 60% economic interest after previous partner Xstate Resources (ASX:XST) declined to participate.

Anshof-2 targets the Eocene sandstone reservoir about 1.8km east of the Eocene intersection in Anshof-3.

Geological modelling aided by AI has indicated that this area could have both higher gross and net reservoir Eocene sandstone thickness relative to that in the crestal Anhsof-3 well.

The appraisal well will intersect both the top and base of the Eocene reservoir to maximise net reservoir intersection.

In addition, Anshof-2 will be used to appraise the structural and depositional model of the field.

Success will not only allow conversion of some of the 3P reserve and 3C contingent resource into higher confidence 2P reserves, it could also increase production by an estimated 300bpd.

 

This article was developed in collaboration with ADX Energy, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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