Daily oil output from four wells at West Hazel averaged around 115 barrels per day, with some days seeing over 200 barrels per day, after all of the wells were brought back online last year.
The rates come despite the decision to reduce total fluid production to minimize sand influx in the wells, Hillcrest said. Production performance over the past 6 months indicates consistently strong fluid flow capacity from the wells and reservoirs.
"We are pleased with how the field has performed well and have gained valuable insight into how best to optimize production from the wells,” Hillcrest CEO Don Currie said in a statement.
“Heavy oil operations require more attention and care than light oil, particularly with regard to sand produced with the oil, and our field staff have done an excellent job keeping all running even in severe cold temperatures."
According to Currie, production revenue has created a floor for Hillcrest to work from as it continues to its balance sheet and shareholder value.
Hillcrest’s assets are focused primarily in the Western Canadian Sedimentary Basin in Saskatchewan.
In early July 2019 total fluid production, including oil and water, was over 4,500 barrels per day, with oil cut estimated at 1.5% to 2% of total fluid.
The firm hit the 150 barrels a day benchmark in September 2019 with oil cut increasing to between 2.5 and 3%.
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