PetronEnergy Resources Corp (PERC) said it has expanded its oil production facilities offshore of Gabon in West Africa from 18,000 to 19,000 barrels per day, a senior official said on Wednesday.
Francisco Delfin Jr, PERC Vice President, said the consortium, led by Vaalco Energy Inc, has set a target production this year of 25,000 barrels per day.
“We are expanding…the increased production will increase PERC’s revenue stream,” Delfin told reporters.
To achieve its target, the company has completed two new platforms in southeast Etame and central Etame, where oil production could go up to 25,000 barrels per day. The expansion was expected be achieved after the drilling campaign on November 2015.
The two new platforms and drilling of six wells cost $525 million.
The company’s share in the expansion project is $13 million. The consortium has recovered about $323 million of the expansion cost.
Delfin said the company would shell out its investment this year through its 2.525-percent working interest in the Etame Marin Production Sharing Contract.
PERC owns 2.525 percent of the Etame petroleum service contract in Gabon, West Africa.
Vaalco Energy operates the field along with other consortium Sojitz Etame Ltd., PanOcean Energy Gabon Corp. Sasol Petroleum West Africa Ltd. and Energy Africa Gabon SA.
In terms of its stake in Service Contract 14c2 in Northwest Palawan, Delfin said they are working with Philodrill Corporation to map out a good development plan for West Ginapatan.
“We believe that among the offshore oil fields in Northwest Palawan, it is the one that has the highest chance of being commercial,” he said.
The service contract has undergone some structure shift in terms of operatorship.
He said the Department of Energy transfered the operation to Philodrill from the previous operator.