Madagascar Oil provides Tsimiroro field activity update

Madagascar Oil Ltd. reported that its steam-flood pilot (SFP) in Tsimiroro heavy oil field has increased oil production from 222 b/d in December 2013 to 425 b/d in February. The results of the pilot, scheduled to end by this year’s second quarter, will determine if the company proceeds with a commerciality declaration later this year.

The nine-pattern SFP began in late-2012 to test the viability of using a conventional-pattern, vertical, multilayer steam flood. The data acquired will resolve numerous reservoir performance factors that Madagascar Oil expects to derisk the decision to proceed with a full-scale development of the field. According to the company, that decision also is contingent on approvals from l’Office des Mines Nationales et des Industries Strategiques, which manages mineral and petroleum resources in Madagascar.

Tsimiroro field has independently audited contingent resources of 1.7 billion bbl (P50) stock tank oil originally in place. Madagascar Oil says it will update those figures upon completion of a full-field interpretation that is nearing completion.

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