Solimar Puts Maricopa #7 Back On-Stream
Solimar has provide an update on operations at the Maricopa Project.
Solimar Energy and its joint venture partner, Sunset Energy Limited, have placed the Wellington Maricopa #7 well back on commercial production after a successful remediation treatment and are continuing to closely monitor its production rates.
The remediation program for the Maricopa # 7 well involved isolating water production which appeared to be coming from the lower part of the open interval. Two attempts to isolate the water were undertaken with measurable improvement in performance after the second treatment. The well is currently producing approximately 6 barrels of oil per day. The Maricopa # 6 well continues to average 27 barrels of oil per day. We expect to sell approximately 1,000 barrels of oil this month from the two Maricopa wells at an estimated average price in the range of $60 to $65 per barrel.
The joint venture partners have plans to drill follow up wells depending on prevailing oil prices. The wells at this project are relatively shallow and lower cost, making them more likely to be profitable, especially at current oil prices. The joint venture partners are also looking to increase their acreage position with the aim of building a small production hub at Maricopa.
Solimar Energy has a 50% interest and is operator of the Maricopa Project. Sunset Energy Limited also has a 50% interest in the project.