Circle Oil targets 12 wells in 2013
Circle Oil sets out drilling plans for 2013
Circle Oil, the oil and gas exploration, development and production company, is planning to drill 12 wells in 2013, with the group’s growing available net cash and working capital facility providing the funding for the work programme.
Chief executive Chris Green noted that Circle is “now well placed and well funded to accelerate its operations in 2013 and begin unlocking the latent value in its substantial portfolio.”
In Morocco, it has six well drilling programmes planned for the first half of the year, which will boost gross production by 50 per cent. In Egypt, four well drilling programmes, comprising of one producer and three injector wells, are planned from now through to the end of July 2013. The final two wells will be drilled in Tunisia, while an offshore 2D seismic survey will be completed in Oman.
In addition to developing its existing assets, Circle will continue to assess new opportunities to build on its portfolio in its current areas of operations and throughout the MENA region.
During 2012, Circle “significantly” strengthened its cash position through increased production. At the end of the year, it had cash in excess of $20 million (€15mn) augmented by the $12.5 million working capital facility, and expects to conclude a senior debt arrangement in the first half of 2013.
In 2012, Circle drilled seven wells with an 86 per cent success rate.