Melbana Energy (ASX: MAY) has reported a significant increase in oil production at its Block 9 operations in Cuba, following a successful workover of the Unit 1B reservoir. The company’s share price surged over 35% after announcing that production levels jumped from 293 to 488 barrels of oil per day (BOPD), a 66% increase. This progress puts Melbana back on track to commence its first oil shipments. Melbana owns 30% of Block 9 and operates it in partnership with Angolan state-owned oil company Sonangol. The company is now focused on accumulating oil inventory in preparation for its maiden shipment.
According to Executive Chair Andrew Purcell, the workover provided valuable data on maximizing production from the reservoir. A major investigation revealed that the completion fluid initially used had caused formation damage, leading to previous production declines. The workover program was designed to address this damage, utilizing studies examining the interaction of various fluid types with formation samples. Melbana is optimistic that the lessons learned can be applied to future well interventions. The company is now focused on drilling the Amistad-2 production well, with civil construction expected to be completed in April.
