LONDON (ShareCast) - (Sharecast News) - Central Asian oil and gas company Caspian Sunrise has made further progress with its deep and shallow wells on the BNG contract area in Kazakhstan after a prolonged period of exceptionally cold weather.
Due to adverse weather conditions, Caspian was unable to undertake very little meaningful work at its deep wells throughout the early months of the year but, as conditions began to improve, operations at its A5, 801 and A6 wells began to move ahead.

After having been on a 90-day flow test at the end of 2017, flow rates at A5 fell to roughly 1,000 barrels of oil per day after the well's choke size was reduced to 6mm to avoid blockages.

However, after a period of this Caspian decided to suspend its flow test and clean out the well, in order to maximise the results of the flow test and supply the best information on which to calculate reserves.

The cheapest and potentially quickest way to accomplish this was by use of coil tubing equipment but, after considerable time and effort was expended, the AIM-quoted firm decided coil tubing was unlikely to produce the outcome desired and discontinued the operation.

A rig has been mobilised to remove the entire tubing string from the well.

"This is a more expensive but more certain solution but one that would have been difficult to use earlier in the year in the extreme low temperatures," the group said on Wednesday.

Elsewhere, well 801 has shown encouraging progress at from its recent sidetrack drilling programme and well A6 remained next in line, with more powerful explosive charges to come at the site after the drill pipes set for use in the operation are freed up at 801.

The group also successfully re-completed production at its MJF and Soviet-era shallow wells.

Clive Carver, chairman of Caspian Sunrise, said, "Progress in Q1 2018 was slow, partly through weather-related delays and partly through equipment failures.

"Encouragingly progress in Q2 has picked up so that we have expectations of the blockages currently in Deep Wells A5 and 801 being cleared to allow 90-day flow tests to resume later in Q2," he added.

As of 0930 BST, Caspian shares had dropped 3.02% to 9.82p.

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