- Prominence Energy (PRM) commences operations at it Bowsprit-1 Well, located near New Orleans
- The company has started preparing for the drill rig, which is expected to arrive at the site over the next 48 hours
- The rig will drill the well to a total depth of about 8600 feet (2621 metres)
- On the market this afternoon, Prominence Energy was up 14.3 per cent and is trading at 1.6 cents per share at 3:09 pm AEDT
Prominence Energy (PRM) has commenced operations at it Bowsprit-1 Well, located near New Orleans.
On Monday, the company started surveying and marking the precise well location, as well as installing the mooring pylons for the rig.
The drilling rig, Parker 55B, is expected to arrive at the location over the next two days and will drill a vertical well to a depth of 8600 feet (2621 metres).
Prominence experienced a delay in the upcoming drilling due to Hurricane Ida.
In the aftermath of the disaster, Prominence informed the market that the rig intended for Bowsprit was meant to be evacuated by another operator, which was using the equipment before a planned handover to PRM.
The Bowsprit leases are located around 70 kilometres southeast of New Orleans in approximately three metres of water.
Managing Director Alex Parks commented on the news.
“It is exciting to finally be drilling and appraising the upside potential of Bowsprit. Any one of sands I, IV(T2), V, VI and VII has a realistic chance of containing a commercial volume of oil, and success in any sand in this well could be transformational for PRM,” he said.
On the market this afternoon, Prominence Energy was up 17.9 per cent and is trading at 1.7 cents per share at 3:09 pm AEDT.