VAALCO Energy, Inc announced that Well 2-H in the Ebouri field, offshore Gabon, has been temporarily shut-in to determine the cause of pressure communication between the tubing and casing annuli. At the time of shut-in, Well 2-H was producing approximately 2,500 gross barrels of oil per day, 700 net to VAALCO.
The well was initially shut-in in early October 2014 due to the pressure communication issue. Attempts to resolve the problem through initial diagnostic work and corrective measures were unsuccessful. Further diagnostic work is being planned including the use of a wireline unit to determine both the cause of the pressure communication and the resolution. The wireline unit is expected to commence operations during late-November, and once completed, the Company then expects to provide an update on this well.
VAALCO noted that the other two development wells in the Ebouri field, Wells 3H and 4H, were shut-in in July 2012 due to the discovery of hydrogen sulfide (H2S) in the oil produced from those wells. The Company and its partners are continuing to make progress on the plans for returning those wells to production in the first half of 2017 with the expected installation of a crude sweetening facility to remove the H2S. At the time Well 2-H was shut in, it continued to produce oil with very low levels of H2S.
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