Key Petroleum completes oil fields acquisition
Key Petroleum Pty. Ltd., Perth, completed its $4 million (Aus.) acquisition of two producing oil fields in southeast England.
MELBOURNE, Oct. 5 -- Key Petroleum Pty. Ltd., Perth, completed its $4 million (Aus.) acquisition of two producing oil fields in southeast England.
The two fields, Brockham and Lidsey, were purchased from Midmar Energy Offshore, the wholly owned subsidiary of unlisted British company Midmar Energy.
Key said it will now work on enhancing production rates for both fields to improve its return on investment. The fields produce a total 85 b/d, but the company believes there is room for improvement through innovative new drilling and workovers.
Lidsey could be improved by drilling a horizontal well to intersect a geological structure with potential to increase the flow by at least 500 b/d. The well is targeting an estimated 9 million bbl of in situ reserves.
Key established a subsidiary, Key Petroleum UK, to operate the two fields and spearhead other oil and gas opportunities in the UK.