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First gas production from the Diever West gas field

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Hydrocarbon Engineering,

Parkmead, the UK and Netherlands focused independent oil and gas group, has reported that first commercial gas production has been achieved at the Diever West gas field in the Netherlands. The field was discovered in September 2014 and, under a fast-track and low-cost development programme, has been tied into existing production facilities through a new dedicated pipeline with gas extraction via the Garijp treatment system.

Parkmead has worked closely with its joint-venture partners on the fast-track development of the Diever West field, and the partnership has successfully brought the field onstream within 14 months of discovery.

Diever West is located onshore on the western edge of the Lower Saxony Basin, approximately 10 km to the east of the producing Weststellingwerf, Noordwolde, Vinkega and Nijensleek fields, on the Drenthe IIIb Production licence, which also contains Parkmead’s producing Geesbrug gas field.

The Diever-2 well was drilled in September 2014 on behalf of the co-venturers by operator Vermilion Energy, and gas was discovered in a good quality Rotliegendes age sandstone reservoir. A 157 ft gas column was encountered, with both net pay and porosity values exceeding pre-drill expectations. The well was flow tested after the successful discovery and recorded an excellent flow rate of 29 million ft3/d (approximately 5000 beo/d).

The Lower Permian Rotliegend sandstone in this area contains three productive formations, and Diever-2 confirmed the presence of all three reservoir sections. The Slochteren Sandstone formation in the vicinity possesses excellent reservoir properties, typically exhibiting a net-to-gross ratio in excess of 90% and porosities of approximately 20%.

Parkmead’s gas assets in the Netherlands continue to provide a robust revenue stream and important net cash flows to the company. A number of enhanced production opportunities are available across Parkmead’s existing Netherlands portfolio, which the company intends to capitalise on. These include a new low-cost infill well at Geesbrug and a further exploration target at De Mussels. The new production from Diever West and the additional Geesbrug well are forecast to more than treble Parkmead’s net gas production in the Netherlands. This will serve as a natural hedge against low and volatile oil prices.

Tom Cross, Executive Chairman, remarked: “We are delighted to achieve first gas from the Diever West field in the Netherlands, which provides an important additional revenue stream for Parkmead. The company has already received revenues from the first gas sales from the field. Parkmead has worked closely with its joint-venture partners on the fast-track development of Diever West. We have successfully brought this new gas field onstream within just 14 months of discovery. This is an outstanding achievement. The new gas production from Diever West will act as a natural hedge to the low oil price environment at this key stage in Parkmead’s growth.”

Edited from press release by

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