BRIEF-Questerre updates Montney activities, sees Q4 capex of CAD 20 mln
OSLO, Oct 17 (Reuters) - Questerre Energy Corp * Recent developments in the Kakwa-Resthaven area of west central Alberta: Production from the Company's joint venture acreage resumed earlier this month following a scheduled shut-down for third party processing plant maintenance. * Current production, net to Questerre, from this acreage is approximately 1,000 boe/d. * Combined with light oil production primarily from Saskatchewan, total Company production is now about 1,500 boe/d. * Completion operations are scheduled to commenceshortly on three recently drilled wells on the jointventure acreage including the 04-19-63-5W6M well("04-19 Well") well, 01-14-63-6W6M well ("01-14 Well")and the 03-30-63-5W6M well ("03-30 Well"). * Questerre holds a 25% working interest in these wells. * Subject to the completion, equipping and tie-in, two of these wells are scheduled to be on production prior toyear-end and the third once central processingfacilities are expanded early in the new year. * The joint venture has contracted two rigs with onedelineating the acreage to the west of the existingproduction and the second focused on drilling infill wells. * Status of completion operations on the 14-29-63-6W6M well at Kakwa North: During the fracing operations, a leak was discovered in the casing in the horizontal section. This has prevented operations from continuing. * Operations to repair the leak are now being organized. Subject to equipment availability, fracing and testing willresume once these repairs are completed. * The Company also reported that it is finalizingdiscussions to contract a rig and the associatedequipment for its next well at Kakwa North that isscheduled to spud prior to year-end. * Preliminary engineering work is also underway for a pipelinetie-in at Kakwa North to a third party processing plant. * At Kakwa South, the Company is finalizing the equipping and tie-in of the 16-07-62-5-W6M well, which is expected to be on stream by mid-November. * The Company anticipates its capital expenditures forthe fourth quarter of this year will be approximately $20 million and will be financed by its working capital, cash flow and undrawn credit facilities of $50 million. Source text for Eikon: Further company coverage: (Reporting by Camilla Knudsen)
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