SOLO OIL Plc latest news release

by Michael on July 12, 2011

Solo Oil Plc (“Solo”) is petroleum resources exploration and development company trading on the London Stock Exchange AIM index. Solo’s objectives are to acquire and develop a diverse portfolio of direct and indirect interests in exploration, development and production oil and gas assets which are based in the Americas, Europe and Africa.

Since listing in April 2009, Solo currently has an exploration and appraisal project in Tanzania with Tullow Oil plc, and a development project in Eastern Canada with options for additional acquisitions across Canada.

I have a small holding in this small oil company but I reckon we will see big things of her. Today the Share Price sits at 1.42p.

Neil Ritson, Solo Executive Director, commented:

“Every indication we have is that Ausable #5 will be an excellent producing well and will substantially increase the output from the field.  Bringing well #2 on-line will also make a significant impact.  With a total of four producing wells the optimisation of the pumps is the next step in enhancing overall production.”

The RNS issued on July 12th 2011 went on to provide the following:

Ausable #5 Preliminary Test Results:

Solo Oil plc today announces the initial results of testing at the Ausable#5 well in South Western Ontario by its Joint Venture partner Reef Resources Limited (“Reef”).

Reef has released a statement giving an update on the progress of operations in the Ausable field following acidization and swabbing operations at Ausable #5.   Reef has now moved the service rig to the Ausable #2 well where it is planned to retrieve the fraccing tools left in the well in 2010, and is also seeking to optimise field operations through the installation of more efficient pumps.

Reef’s announcement, to the Toronto exchange, reads:

The Company (Reef) also reports that the Ausable #5 well completion has been successful.  Initial test results after acidization and during flow back and clean up indicate the well has met or exceeded our expectations.  Due to the oil foaming, which is caused by a combination of high gas oil ratio and very light gravity oil, flowing volumes were difficult to obtain using conventional swabbing methods.  The Company now plans to tie-in the well to the central Ausable process facility within the next 7 – 10 days so as to conduct an online test to better determine oil, gas and gas liquids production rates.  It is anticipated that flow test results will be provided by August 1, 2011.

A fishing program at Ausable #2 horizontal well to recover stage frac tools is currently being finalized with the intent of starting fishing operations, using the service rig from Ausable #5, on or before July 25, 2011.

Additionally, the Company is currently completing the design for a more efficient pumping configuration to be deployed in all the Ausable wells.  The new design is hoped to improve down-hole pumping efficiencies thereby increasing oil and gas liquids production.  The objective is to have these production improvements complete by September 2011.

The Ontario properties include the Ausable, Airport North and Airport South reefs as well as surface equipment, a 23,000 acre 3D seismic survey and other associated gas storage and reinjection rights.

 

 

 

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