Venture Upbeat on Chestnut Production, Ties-In Second Successful Well

Venture Production has announced the successful tie-in of a second production well in the Chestnut field. Venture is the field operator and holds a 69.875% working interest in the part of block 22/2a containing the Chestnut field.

The Chestnut field came on stream in mid-September 2008 with one initial production well tied-in to the Hummingbird FPSO. A second Chestnut production well was sanctioned in May 2008, spudded in September and successfully tested in November.

This additional well has now been connected to the subsea infrastructure and has increased production from the field to just less than 12,000 barrels of oil equivalent per day (boepd), net to Venture. In addition, as a result of strong well performance and updated reservoir modelling the expected overall recovery from the field has increased by between two and five million barrels of oil equivalent (MMboe), net to Venture.

Investment in this second production well was sanctioned in May 2008 which means the well has been drilled and brought on stream in less than 10 months.

Commenting on the news, Mike Wagstaff, Chief Executive said, "Chestnut was already delivering at the upper end of our expectations and successfully adding this second well has confirmed the field as an important contributor to our overall production. We have sanctioned, drilled and brought this second well on stream in less than ten months which is a reflection of our sub-surface team's innovative use of leading edge seismic techniques to identify further infill well opportunities. The robust field performance and additional reserves we have proved up validates our decision to develop Chestnut using the Hummingbird FPSO, the first deployment of a cylindrical FPSO in the UK offshore sector."