Otto completes well drilling at Lightning field in Texas, US

Otto Energy has completed drilling of the Green #2ST development well at the onshore Lightning prospect in Matagorda County, Texas, US.

Joint venture (JV) partner Hilcorp Energy owns 62.5% in the Lightning onshore field while Otta Energy owns the remaining 37.5%.

Hilcorp is operating the development well and noted that the well has reached total depth over the target intervals, in comparison to the initial results from the Green #1 well.

The Green #2ST well has shown potential for up to an additional 175ft of net play based on the applied porosity and water saturation cut-offs.

According to Otto Energy, production at Green #1 well was shut as part of the open hole drilling operations at Green #2ST well, which further evaluated the Tex Miss 1 and Tex Miss 2/3 reservoir units that are currently producing from the Green #1 well.

Discovered in February 2019, the Lightning Field commenced production in May the same year.

Production of the Green #1 well stood at 11.9 MMscf/d and 360 bbl/d condensate as of 30 September last year.

Otto Energy managing director and CEO Matthew Allen said: “Successful appraisal and follow-up drilling at the Lightning discovery has delivered a great start to 2020 for Otto Energy. The first discovery well was drilled less than one year ago and first production was delivered in May 2019.

“Otto continues to deliver highly economic, liquids-rich projects with short cycle payback periods in the US Gulf of Mexico. The further development of Otto’s suite of projects is set to deliver a significant outcome during 2020 for Otto’s shareholders.”

Production has recommenced at Green #1 well following the successful completion of drilling activities of the #2ST.

Otto Energy mentioned that the Green #2ST is currently being prepared for production.

Upon successful production testing and evaluation of the reservoirs encountered in the Green #2ST well, the JV partners plan to further develop the Lightning discovery area.