Petro Matad: planned production startup at Heron-1

Site construction and equipment installation activities on the Heron-1 well pad have been completed. The beam pump, generator and storage tanks are now being commissioned and will be ready for production startup on or before 25 October 2024. Petro Matad's in-field operations team is at site and all logistical preparations are being made to be ready to start the transportation of produced fluids to PetroChina's facilities some 20 km to the north in Block XIX.

The Company will be honoured to host a delegation headed by the Ministry of Industry and Mineral Resources at a startup ceremony at the well site on 25 October. The delegation will include senior representatives of the Ministry, senior officials of industry regulator the Mineral Resources and Petroleum Authority of Mongolia (MRPAM), and invitees also include the Provincial and District Governors and their respective senior officials as well as representatives of PetroChina.

The Cooperation Agreement with neighbouring operator, PetroChina Daqing Tamsag, is in near final form. It includes provision for the offloading, measurement, processing, export and sale of the Block XX production. All fees to be levied are in line with expectations and the only item remaining to be agreed is the administration fee to be paid to PetroChina. Whilst PetroChina has advised that it will likely take some time for the agreement to be signed by its Headquarters, Petro Matad, PetroChina and MRPAM have all agreed to get Block XX production operations started ahead of the operational winter shut down in late November. Production, processing and export activities continue through the winter months, so it is important to get these started in advance.

Mike Buck, CEO of Petro Matad, said: "We have waited a long time to get the Heron-1 well into production and we are pleased to have reached this important milestone. We very much appreciate the support of the Ministry and MRPAM and the cooperation that PetroChina is providing. We are also very grateful for the hard work and enthusiasm of our dedicated team and for the patience and continued support of our shareholders."

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/23102024/petro-matad-planned-production-startup-at-heron-1/