Pump change on 14-29 well further improves oil production; MENACo submits proposal for initial 18-well project for a MENA national oil company
CALGARY, Canada (July 2, 2024)—Sonoro Energy Ltd. ("Sonoro" or the “Company ”) (TSXV:SNV) is pleased to provide shareholders an update on operations in Saskatchewan and activities in the MENA region.
In Saskatchewan, Sonoro continues to produce oil after recently performing a pump change to improve downhole lifting efficiencies for enhanced oil production. This optimal pump size eliminates the continuous recycle while maintaining the option to perform periodic well flushes to ensure continuity of the CHOPS process and expected production improvements.
Subsequent to this pump change, the well has averaged production of 91 barrels of oil per day since the we performed the workover, an estimated initial increase of over 30% from our previous average production rate for the first half of June. The Company will continue to focus on optimizing drawdown and oil production at the site.
Further to our farm-in partner in Saskatchewan, Superb Operating Company Ltd. (“Superb”) announcing a sales process for their oil and gas properties which includes lands under our Farm-In Agreement, we look forward to this concluding and proceeding with our operations to progress the next multi-leg multi-lined horizontal well.
In MENA, the Company had previously announced a proposed share transaction with MENACo, as per Company news release on June 3, 2024, whereby MENACo has signed Oil and Gas Well Management and EPC Master Services Contract (“MSA”) with a national oil company.
MENACo has advanced its review and study of various shut in wells and EPC projects and has submitted a technical proposal for an initial 18-well intervention and flowline project. MENACo anticipates that the technical and commercial aspects will be approved in the near term such that works may commence shortly with the first work order planned to produce over 16,000 bopd, for the national oil company, within a period of 3-4 months.
MENACo and Sonoro are also advancing the final documentation amongst MENACo shareholders and final Agreements for the transaction. The proposed transaction will also be subject to all applicable TSX Venture Exchange approvals.