Hurricane Oil down on production update

The price of shares in AIM-listed oil and gas outfit Hurricane Energy (LON:HUR) has dropped by 1.60% to 43.02p (as of 14:00 BST) after it said that production at the Lancaster EPS had been better than expected since first oil. Average production has been 14,400 barrels of oil per day and 1.2 million barrels have been sold to date.

CEO Dr. Robert Trice commented: “We are delighted to provide an update on Lancaster EPS progress and to communicate that our production levels have been above expectations for this early phase of operations. However, despite these promising results, we remain cognisant that it will take up to a year to acquire and interpret sufficient performance information to test our reservoir model of the field.

“Now that we are back to flowing the Lancaster wells through separate flowlines, we look forward to gathering data on individual well performance to help optimise well delivery as well as improve the Company’s understanding of the reservoir’s performance.

“On the Greater Warwick Area, Lincoln Crestal well operations are now progressing to drill stem testing. We look forward to reporting the result shortly”.