Samson Oil & Gas Completes Leonard Well Workover

Samson Oil & Gas has advised that the workover of the Leonard #1-23H has been completed with a pumping unit installed.

During the first 19 hours of production after the workover, the well produced 135 barrels of oil and 269 barrels of water, which represents an oil cut of around 33%. On a 24 hour basis, this is equivalent to 170 BOPD and 340 BWPD, for a combined fluid rate of 510 BFPD.

As previously advised, when the well was initially worked over to remove residual frac sand, the bottom half of the well was found to be blocked with a sand plug. This prevented the production of stimulation and formation fluids from that part of the well until such time as the workover removed this plug, allowing the full potential of the producing zone to be measured.

Historical production from the well suggests that the oil cut can be expected to improve to around 70% once the original stimulation fluid is recovered. As a result, Samson is currently estimating an initial oil rate for the well of between 300 and 350 BOPD.

Samson is planning to fund 5 Proved Undeveloped locations that are adjacent to this well in which it will have various equities, with a blended average of 32.5%.