Zephyr Energy PLC (AIM:ZPHR, OTCQB:ZPHRF) has announced positive initial results from a production test at its State 36-2R well in Utah’s Paradox Basin, highlighting robust flow rates, minimal water production, and strong reservoir performance—all achieved without fracture stimulation.
“The production test successfully delivered on all key objectives,” the company stated. “Most importantly, the test data gathered suggests that there is more than sufficient deliverability for a commercial well.”
During one test phase, the well reached a peak output of 2,848 barrels of oil equivalent per day, consisting of 856 barrels of oil and 11.9 million standard cubic feet of gas, using an 18/64 inch choke. This was achieved without a significant drop in bottom hole pressure, indicating strong reservoir support. A separate 48-hour test on a more restricted 8/64 inch choke produced stable flows between 700 and 1,066 boe/d, again with consistent pressure.
Advanced fibre optic sensing along the horizontal wellbore confirmed hydrocarbon inflow across the full lateral length, suggesting broader reservoir contribution than previously tested. Earlier results had focused on just a 130-foot interval.
The gas stream showed strong liquid yields, averaging 85 barrels per million cubic feet and ranging between 60 and 200 barrels—factors that are expected to significantly enhance project economics. Meanwhile, water production remained exceptionally low, under 0.5%, which should reduce operating costs related to water handling and disposal.
Fluid samples are currently undergoing laboratory analysis to further define the composition and characteristics of the reservoir.
Zephyr also confirmed that its chosen completion method—hydrajet perforation combined with acid stimulation—was effective, with well performance aligning with the company’s P50 reservoir quality estimate. While no fracture stimulation was used in the test, the option remains open for future output enhancement.
CEO Colin Harrington expressed confidence in the results: “I could not be more pleased with the initial results from this latest production test. Our team has worked exceptionally hard to crack the code to deliver highly economic production from this under-explored basin. These results not only demonstrate commerciality at a single-well level but point to significant upside across the broader Paradox project.”
