1. What were the latest steps that were taken in the Helena Energy project?

In the past weeks, we successfully completed the negotiations on right of way for our pipelines and the electricity supply; and we made further agreements with other operators on water supply. Water tanks have been installed, a water pump has been connected and the area around the oil tanks has been provided with an overflow protection. However, the best news is that we are about to complete our first producer-injector pair. This production facility consists of a borehole through which water is injected into the ground and a production hole connected to it from which oil is pumped up pressurized. To do this, we converted an existing borehole into an injection well and drilled a completely new production hole in addition.

 

  1. Recently the first test drilling occurred – what were the results?

At the moment, we are expecting more than 300 barrels per day. The conversion of the existing borehole into a water injection well worked flawlessly and already during the conversion 80 barrels of oil were pushed to the surface within 3 hours. Due to this bright look-out, we are planning to build another producer-injector facility in the production area “Good Luck” soon.

 

  1. When are further drillings planned?

The drillings are subject to funding but we expect them within the next few weeks.

 

  1. How does the production technology of water flooding used here work?

Water flooding requires two boreholes: Water is injected by the one, the so-called injector, building up pressure that brings the oil to the surface through the producer. This approach is particularly effective with boreholes at which gas was used at first because there pressure is quickly decreasing. However, with water, a constant pressure can be generated that releases more oil from the ground.

 

  1. What are the advantages and what are your personal experiences with it?

In my more than 40 years in the gas and oil industry I have already been in charge of countless water flooding projects in New Mexico as well as in Texas. The advantages of this technology are obvious because it produces two to three times as much oil as gas expansion. Water flooding is extremely effective as oil deposits can be reached with it that could not be reached with any other technique.