Brookside Energy Ltd (ASX:BRK) has achieved a significant milestone by producing its one-millionth barrel of oil equivalent (BOE), including an impressive 715,000 barrels of liquids.
This achievement comes less than two years after the company's first operated well, the Jewell Well, commenced production.
The company said this rapid success underscored its commitment to operational excellence and value creation for its shareholders.
Escalating production
The recent addition of the highly productive Wolf Pack Well in February this year has contributed to a sharp acceleration in production, highlighting the quality of the rocks and the exceptional operational expertise of the Brookside team.
The company has rapidly advanced its operations in the SWISH Area of Interest (AOI) within the world-class Anadarko Basin of Oklahoma.
With the successful production of one million BOE, Brookside is now eyeing the next phase – the monetisation of its substantial 11.9 million BOE Proved and Probable Reserves (2P) net reserve. This reserve holds a significant value of US$170.5 million or A$0.05 per share pre-tax NPV10.
High margins, low costs
Brookside managing director David Prentice said: “We are delighted to report the achievement of this very significant milestone.
"I would like to thank all of our stakeholders, shareholders, advisors and the team that have all played a role in taking the SWISH AOI discovery from concept to production and positioned the company to now take advantage of the large inventory of high-margin, low-cost wells that sit within our reserve base.
“We continue to pursue our goals in a financially disciplined way, always with an eye on maintaining our leverage to higher oil prices as we look to monetise this liquids-rich reserve base.”
Adding to the optimism is the emergence of strong results from Continental Resources' neighbouring development projects.
The combination of positive market dynamics and promising results from neighbouring ventures has bolstered Brookside's determination to finalise a comprehensive plan that maximises returns from its operations.
About Brookside Energy
Brookside Energy is an Australian-based exploration and production company operating in the SWISH AOI within the prolific Anadarko Basin.
As the company progresses with its monetisation plans for the vast reserve base, it seeks to capitalise on the large inventory of high-margin, low-cost wells within its portfolio.