Victoria Petroleum said it expected the jet pump installation at Jingemia-4 to increase oil production at the field.
Brought into production on September 25, Jingemia-10 has produced at rates of up to 5215 barrels of oil per day under natural flow, said managing director John Kopcheff.
“With the resumption of oil production this week and further increases planned in the near future, Victoria Petroleum and its joint venture partners will be well positioned to benefit from the strong cash flow arising from current high oil prices in excess of US$60 per barrel,” said Kopcheff.
“At current oil prices, Victoria Petroleum’s share of 5,000 barrels of Jingemia Oil Field production provides an estimated net revenue to Victoria Petroleum of $500,000 per month.”
Kopcheff also said the Jingemia-5 had reached a total depth of 2680 metres and was now preparing for wireline logging.
“Jingemia-5 is being drilled as a water injector well into the prognosed western edge of the Jingemia Oil Field and so will not be producing oil,” he said.
“It will be a useful well down which water will be injected to increase the oil producing reservoir pressure to maintain the high production rates of 5,000 barrels of oil per day from the crestal Jingemia-10 and Jingemia-4 oil wells.”
Jingemia-5 is 60 metres north-east of the Jingemia-6 surface location and about 275 metres north-west of the Jingemia oil production facility.
The primary target was the Late Permian Dongara Sandstone, the main oil-producing horizon at the Jingemia and adjacent Hovea and Eremia oil fields, said Kopcheff.
Jingemia-5 has been drilled as a directional well to intersect the Dongara Sandstone approximately 470 metres north-northwest of the surface location below the currently interpreted Jingemia Oil Field oil-water contact at a depth of approximately 2,519 metres measured depth.
Kopcheff added that the onshore North Perth Basin remained “arguably the most profitable area in Australia for onshore oil production."
Participants in Production License L14 are: Origin Energy (Operator - 49.189%); Arc Energy (44.141%); Victoria Petroleum (5 %); JK Geary (0.142%); Norwest Energy (1.278%); and Roc Oil (0.250%).
