Bankers Petroleum Ltd. (BNK.TO) has jumped 20% early afternoon
as it provided a second quarter operational update.
Production and Oil Prices:
The average second quarter 2012 production was 14,167 barrels of
oil per day. Oil sales from the Patos-Marinza oilfield in Albania
during the quarter averaged 14,169 bopd, 7% higher than the first
quarter 2012 rate. The crude oil inventory at June 30th was 305,000
barrels, relatively consistent with 312,000 barrels at March 31st,
2012. Average production in June was 14,817 bopd.
The Patos-Marinza second quarter average oil price was
approximately US$76.53 per barrel (representing 71% of the Brent
oil price of US$108.19 per barrel), as compared with the first
quarter average oil price of US$84.96 per barrel (72% of the Brent
oil price of $118.49 per barrel).
For the six months ended June 30, 2012 oil sales were 13,724
bopd ($80.62 per barrel) an increase of 14% from 12,024 bopd
($72.56 per barrel) for the comparable 2011 period.
Thirty-eight (38) wells have been drilled during the second
quarter: Thirty-six (36) horizontal production wells and one (1)
water disposal well and one (1) exploration well in Block "F".
Twenty-nine (29) of the horizontal wells have been completed and
placed on production with 25 wells averaging 120 bopd per well and
four wells have high water cuts. The remaining seven (7) wells are
currently undergoing completion operations and will be on
production in the next several days. Base production from producing
wells at the end of the first quarter declined by approximately 8%,
another 300 bopd were shut-in at the end of June while drilling
adjacent wells and as reported earlier another 200 bopd were
shut-in due to liner re-entry issues during the quarter.
The second steam cycle for well 5201 started on June 16th and
3000 cubic meters of cold water steam equivalent has been injected
until the end of June. It is anticipated that steaming operations
will continue until approximately mid-July. The well will be
shut-in for a brief soak period then placed on production.
Infrastructure and Remediation:
Work is continuing on the water control program with 42 wellbore
suspensions completed in the quarter. Two wells with mechanical
damage have been repaired and are now on production. Further
remediation of liner re-entry continues.
The second exploration drilling location in Block "F" is
progressing with reviews of environmental and construction permits.
The timeline for drilling the well is late fourth quarter.
More than 3.6 million shares have been traded so far, making
Bankers Petroleum the second most active on the TSX.