Related Articles
Forward article link
Share PDF with colleagues

Siekierki results disappoint Aurelian

Aurelian Oil & Gas’s Siekierki tight-gas pilot project in northern Poland has delivered disappointing results

Aim-listed Aurelian, which is exploring the South Permian basin, said flow tests of one of the Siekierki project test wells showed initial gas recovery at a much lower rate than expected. Initial data suggests gas recovery at the Trzek-3 well could be as little as 4 billion to 8 billion cubic feet (cf) rather than the estimated 10 billion to 20 billion cf. Aurelian said the well is also producing higher levels of water than expected, but does not know why.

“This news is disappointing and we are determined to understand the reasons why gas rates are lower and water rates higher than expected,” said Aurelian chief executive Rowen Bainbridge.

The Siekierki project is in the company’s two Poznan licences, which are wholly owned by Energia Zachod. Aurelian has a 90% stake in Energia Zachod alongside Avobone NV, which holds the remaining 10%.

Bainbridge said that despite the disappointing gas flows, the Siekierki tight-gas project could have 1.6 trillion cf of gas in place. He added that the company has drilled wells on only 2.5 square km of a possible 150 square km within the licence.

Aurelian had made plans to finish fracturing its first horizontal well at Siekierki by the end of this year. Mechanical problems restricted flow rates from six of 10 wellbore sleeves to 3 million cf/d, less than half of Aurelian’s target flow rate of 8 million cf/d. Bainbridge said this has now been put on hold to reserve cash and until the company better understands the results from the test well.

Aurelian added it is assessing options for selling gas from its three existing wells and it will continue flow testing until the end of September when it will provide a further update.

Also in this section
Latest licensing rounds
10 July 2020
The industry's most comprehensive list of current and recent rounds for onshore and offshore licences
Congo’s disappearing discovery
9 July 2020
The Republic of Congo’s announcement of a major discovery appears to be targeted more at extorting EU environmentalists and multilateral lenders than attracting IOCs
Australian upstream rejects politicians’ call for A$4 gas
8 July 2020
Producers insist the costs of producing gas domestically—as well as prevailing spot prices—significantly exceed the historic benchmark price level