HONG KONG (Yosefardi) – Mirach Energy Limited plans to reopen up to 29 old wells in Kampung Minyak (KM) oil field in 2015. Some of the old wells will only involve simple reactivation work, while others may require workover.
As at 30 June 2015, a total of 15 wells had been reactivated. The Group is working with a Chinese oil services provider on success-based fee arrangements for the reactivation of
Mirach Energy’s some wells.
The Group will commence hydro-injecting pilot program trials to optimize production in the third quarter of 2015.
Mirach Energy registered total revenue amounting to US$1.15 million and US$0.60 million in the first half of 2015 and in the second quarter of 2015 respectively. The increase in total revenue was due to increase incremental oil after repaying all previous NSO shortfall at Kampung Minyak Oil Field in the second quarter.
Whilst total crude oil produced increased 23% in first half as compared to same period of 2014 due to better well servicing, incremental oil increased 151% in first half as compared to 1H2014.
The increase in incremental oil increased the total cost recovery and entitlement revenue by 33% in first half and 54% in second quarter.
The increase in cost recovery and entitlement revenue was despite a decrease in Indonesia Crude Price (ICP) by 48% and 45% in first half and second quarter respectively. Total revenue receipts from Pertamina EP for first half was US$0.56 million as compared to nothing in first half of 2014.
Mirach Energy suffered loss attributable to equity holders of the Company of approximately US$2.63 million in first half as compared to the net loss of US$2.65 million in first half of 2014.