Northcote Energy completes Little Drum pipeline project

US onshore oil and gas exploration and production company Northcote Energy has expanded its production capacity by completing the Little Drum pipeline project.

Completing the project enables the company to increase the salt water disposal capacity by up to 150% at the Little Drum unit by using additional capacity at its Big Hill unit. This allows Northcote to increase oil and natural gas production levels at the Little Drum unit.

The pipeline now supports salt water disposal volumes of over 10,000 barrels a day, and the increased disposal capacity also supports the fracture stimulation of the wells at Big Hill #2, where the company has resolved mechanical issues caused by excess acid levels in the bore well.

By addressing issues with both the units, Northcote will have enough capacity to handle the higher water volumes expected with post-frack production rates.

Northcote Energy managing director Randall Connally said that following successful frack results at the Big Hill #1 well, the company became aware that they had live hydrochloric acid coming into the Big Hill #2 at levels that would have ruined submersible pumping units and tubing.

"We therefore began a process of circulating fresh water into the wellbore to dilute the acid to acceptable levels. We have now re-initiated flow of this well and look forward to announcing results to the market in due course," Connally added.

The company focused its efforts on completing the Little Drum salt water disposal pipeline, both to increase production rates prior to stimulation and to support the increased water volumes that will result from fracture stimulation of these wells as part of the company’s ongoing work programme.