PERTH (miningweekly.com) – ASX-listed Buru Energy has started commercial production at its Ungani oilfield, in Western Australia’s Canning basin.
The project, which is a joint venture (JV) with Mitsubishi, would produce at an initial rate of 1 250 bbl/d of oil, with an initial increased target of 2 500 bbl/d and eventually rising to 3 000 bbl/d.
“The cash flow from Ungani marks the next chapter in Buru Energy’s growth. Combined with our strong cash position we have the financial strength to fund our aggressive exploration programme and create further growth for shareholders,” said Buru executive chairperson Eric Streitberg.
The JV also had an aggressive programme under way to increase oil reserves in the basin. As part of this, Praslin 1, the second well in the 2015 conventional oil exploration programme, had just been spudded.
Praslin is a Ungani-style target some 15 km from the existing Ungani field and lies in the Jackaroo seismic data grid.