Oil price spike boosts Bass Oil’s bottom line, despite shutdowns

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Australian-based, Indonesian oil producer, Bass Oil has released a monthly operations update for April 2019 production from the Tangai-Sukananti field onshore Indonesia of 20,273 barrels of oil (11,150 barrels of oil net to Bass).

Bass said monthly oil production and sales were down slightly during March with April production rates averaging 676 bopd.

However, oil prices were up 8% during April. The average monthly realised oil price was US$67.39 compared with a monthly average oil price of US$62.49 per barrel recorded in March.

“The fields continue to generate positive cash contributions to the business with field operating costs at or below US$25 per barrel,” Bass said.

“The field continues to perform well with production in April averaging 676 barrels of oil per day JV share. This was a pleasing result considering that the Bunian 1 and Tangai 1 wells were shut in due to downhole pump failures.”

The team in Indonesia is currently sourcing a well service rig to perform a program of well work, including the Bunian 1 and Tangai 1 pump repairs, Bunian 4 workover and the Tangai 4 conversion to water injector.

Bass has also issued a tender for the provision of 750 horsepower capacity drilling rig for the drilling of the Bunian 5 well, with the aim of commencing as soon as the rig is available.

“The well is expected to double production from the field taking up the remaining available production capacity of the Tangai-Sukananti field facilities as well as increasing developed reserves,” the Company said.

During the month Bass paid the penultimate instalment of the deferred consideration of $500,000 plus interest to Cooper Energy for the purchase of the Tangai-Sukananti KSO.

The final instalment of $770,000 plus interest is due 30 June 2019.

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