Flow starts from East Al Hajr oil field in Yemen

By OGJ editors

HOUSTON, Dec. 7 -- Nexen Inc. has started up production of about 4,000 b/d of oil from Bashir al Khair-A field (BAK-A) on Block 51 in Yemen. The Calgary-based firm holds 87.5% working interest in the block.

Early production from several development wells flows through temporary production facilities and a new 22 km oil pipeline that connects to the existing Masila export pipeline.

Full production of about 25,000 b/d is expected to start late in second quarter 2005 after completion of permanent processing facilities.

A second, smaller field, BAK-B, is expected to start up in late 2005, helping to sustain Block 51 production of 25,000 b/d through 2007.

The BAK-I exploration well in the northern area of Block 51 has encountered oil shows. A production test is planned early in 2005.

Drilling of a fourth exploration well on the block is under way, and a fifth well is to be spudded before yearend. The fourth and fifth wells are testing independent structures.

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