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BLR Black Rock Oil

1.125
0.00 (0.00%)
18 Oct 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Black Rock Oil LSE:BLR London Ordinary Share GB00B1YW2916 ORD 1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 1.125 0.00 01:00:00
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
0 0 N/A 0

Arce Drilling Commences

07/06/2006 8:01am

UK Regulatory


RNS Number:1514E
Black Rock Oil & Gas PLC
07 June 2006


For immediate release 7th June 2006


                            Black Rock Oil & Gas PLC

                        ("Black Rock" or the "Company")


                Drilling commenced at Arce Oil Field in Colombia


The Board of Black Rock Oil is pleased to announce that the drilling of the Acre
4 development well has commenced by its joint venture partner, Kappa Resources
Colombia Limited ("Kappa"). The rig arrived on site last week and the Arce 4
well has now been spudded.


Arce 4 is expected to take 15-20 days to drill, test and complete. Subsequently
the drill rig will be moved to Arce 2 where the gravel pack will be replaced.


In addition, the Company confirms that the steam generator is expected on site
at the Arce field by early July and that preparation is being made for the steam
testing programme to commence. Steam injection and production is a proven
technique used in Colombia to increase oil flow by lowering the oil viscosity
and is being use for production in adjacent fields. As set out in the Company's
Annual Report and Accounts for the year ended 30 June 2005, the Arce field has
estimated recoverable reserves in excess of 5 million barrels of which the
Company has a 50% equity.


Testing is also scheduled on the Baul field within the licence area in the
coming months. The Baul well was previously on commercial production but shut-in
in 1961 due to the then prevailing low oil price.  If the well is in good
condition, it will be tested with a view to potentially declaring commerciality
during 2006.


Ivan Burgess, Managing Director of Black Rock Oil & Gas plc, commented:


"Our aim remains to book reserves in excess of 2.5 million barrels and to
generate cashflow in the second half of 2006. We are optimistic that the Arce
field will be in commercial production later this year.


"The spudding of Arce-4 represents the first stage of our development, appraisal
and exploration programme in 2006 and the Arce steam testing project should
start to generate cash flow for the Company later this year."



For further information, please contact:

Black Rock Oil & Gas plc
Ivan Burgess, Managing Director                    Tel: 020 7240 3953
                                                 Mobile: 07917 185129
                                                 www.blackrockoil.com

Beaumont Cornish Limited
Roland Cornish, Chairman                           Tel: 020 7628 3396

Bankside Consultants
Michael Padley/Susan Scott                         Tel: 020 7367 8888





Editors' Note


The fields in Colombia are held in conjunction with a joint venture partner,
Kappa Resources Colombia Limited ("Kappa"). As previously announced in April
2005, the Company acquired a 50 per cent. non-operated equity interest from
Kappa in the 249,000 acre Las Quinchas Association Contract located in the
prolific Middle Magdalena Valley of Colombia.


The Company anticipates that the Arce Oil Field, estimated to contain gross
recoverable oil reserves of 5 million barrels, could be in commercial production
during 2006.  Should these operations prove successful, further production wells
will be drilled into the field to increase the daily production rate.



Qualified Person and other matters


Dr John Cubitt (a Director of the Company) has been involved in the oil and gas
production for more than 26 years. Dr John Cubitt is a registered Chartered
Geologist (CGeol) and has a BSc and PhD in geology. He has compiled, read and
approved the technical disclosure in this regulatory announcement relating to
the Company's interests in Colombia.



ENDS











                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
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