This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Oando Energy Resources Announces Operational Update

CALGARY, Alberta, March 27, 2013 /PRNewswire/ --

Oando Energy Resources Inc. (" OER" or the " Company") ( TSX: OER), a company focused on oil exploration and production in Nigeria, today announced an update on its operational activities relating to its Abo (OML 125), Ebendo (OML 56) and Akepo (OML 90) assets.

OML 125/134 (Abo Field, 15% non-operated interest)

Production from the Abo asset remains at an average of 20,467 bopd (gross) with 3,070 bopd net to OER.

OML 56 (Ebendo/Obodeti Field, 42.75% non-operated interest)

Production from the Ebendo field averaged 3,600 bopd (1,540 bopd net to OER) between January 1 and February 13, 2013. On February 13, 2013, production from the Ebendo field was shut in as a result of required repairs and maintenance on the 10 inch Kwale-Akri oil delivery pipeline that is operated by Nigerian Agip Oil Company Limited (" NAOC"). The pipeline connects OER's Ebendo field (OML 56) to the Brass export terminal. Unofficial dialogue has continuously been maintained between OER and NAOC with regards to the pipeline repair progress and re-opening through the months of February and March 2013.

On March 21, 2013, NAOC officially communicated Force Majeure to OER with regards the 10" Kwale-Akri oil delivery line as a result of a pipeline leakage that had forced the Operator to significantly reduce transportation of crude oil in the pipeline in order to carry out repairs, thus hindering crude oil liftings at the Brass terminal. NAOC is working towards returning the pipeline to normal operations in the shortest possible time and will keep OER informed of its repairs progress. OER will advise the market once full integrity of the pipeline is communicated by NAOC and when production from the Ebendo field (OML 56) is expected to resume.

Operationally, the drilling campaign that commenced last year and was targeted at two producer wells (EB-4 and EB-5) continues to progress. As announced on October 22, 2012, the EB-4 well was successfully drilled, completed and brought on production at 1,800 bopd (770 bopd net to OER) for its short string, while long string production of 2,339 bopd (1,000 bopd net to OER) remains shut in due to the aforementioned Kwale-Akri pipeline.

The EB-5 well, which was spud on October 12, 2012, was intended to target the medium sands encountered during the EB-4 drilling program. The results of a drill stem test (DST) have indicated a daily production rate of 1,548 bopd (net to OER) on choke 28/64" and 828 bopd (net to OER) on choke 24/64" from the XVIIIc and XVIIId sands, respectively. The EB-5 well is currently being completed as a dual string producer with drilling operations expected to conclude by the second quarter of 2013.

OER plans to initiate its next Ebendo drilling campaign in the second quarter of 2013 with the EB-6 (firm) and EB-7 (optional) wells, which are intended to appraise the intermediate sands encountered during the drilling of the EB-4 well. A KCA Deutag rig, T-26, has been mobilized to the location to commence drilling on these wells.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.29 -0.94%
FB $118.12 0.59%
GOOG $697.13 0.69%
YHOO $36.00 -0.03%
TSLA $222.55 -4.20%


Chart of I:DJI
DOW 17,668.69 -82.22 -0.46%
S&P 500 2,051.97 -11.40 -0.55%
NASDAQ 4,728.9080 -34.3160 -0.72%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs