SDX Energy Plc (AIM: SDX), is pleased to announce a successful two-well drilling campaign in Morocco that opens up a new producing area. Further wells are planned in Morocco for 2023 to drive production and revenue growth.
In Morocco, the Company announces two discoveries from the recently completed SAK-1 and KSR-20 wells. The SAK-1 well has already been connected to the Company’s infrastructure and testing results indicate that in place volumes will be on the higher side of the pre-drill P50 estimate of 0.44 bcf. Crucially, the well opens a new production area to the north-west of the Company’s historical producing area, with several other follow-on prospects identified within the SAK cluster.
The KSR-20 well has also discovered gas in this well-known area and is currently undergoing a pressure build up test. The well will be put on production as soon as permitting and tie in are completed and an announcement on anticipated in place volumes will be made in due course.
Following these successes, and the identification of further similar drillable prospects, the Company plans to expand its drilling operations in 2023. To date, over 70 prospects have been identified on the portion of Moroccan acreage that is covered by high-quality 3D seismic, of which 25 have been high-graded and total around 20 bcf P50 EUR unrisked.
Mark Reid, CEO of SDX, commented:
“We are pleased with the results of both the SAK-1 and KSR-20 wells. In addition to opening a new play fairway with numerous follow-on drillable targets, the wells will contribute immediately to production and revenue growth in an area where demand and gas pricing is robust. Morocco remains a key area of potential growth for SDX and we look forward to planning further drilling in 2023. I would also like to add my thanks to our partner ONHYM for the provision of the excellent drilling team and the ONHYM 525 rig which was used to great effect during the campaign.”
For further information, please see the Company’s website at www.sdxenergygroup.com or the Company’s filed documents at www.sedar.com.
For further information:
SDX Energy Plc
Mark Reid
Chief Executive Officer
Tel: +44 203 219 5640
