Metgasco reports significant increase in gas production

Metgasco Ltd (ASX:MEL) has reported a substantial increase in gas production following the intervention at the Odin-1 well. The production rate at Odin-1 has surged more than 2.3 times after optimization and perforating operations, with an average gas flow rate of 3.3 MMscf/d, up from 1.4 MMscf/d. Additionally, the company has confirmed that Odin-2 is on track to commence production from mid-October. Vali-2 production remains in line with prior performance.

Executive Commentary

I am pleased to report that the Odin-1 well intervention to optimize production has delivered a material increase in gas production. This raw gas increase, along with Odin-2 first gas, on track to start in mid-October, is anticipated to significantly increase Metgasco's revenue in Q2 FY25.

Summary of Metgasco's Progress

Metgasco Ltd (ASX:MEL) has successfully increased gas production through the intervention at the Odin-1 well, resulting in a substantial rise in the production rate. The company's Odin-2 is progressing as planned and is expected to commence gas production in mid-October. Vali-2 production remains consistent with prior performance. The company's Managing Director, Ken Aitken, expressed satisfaction with the outcome of the Odin-1 intervention and highlighted the anticipated positive impact on Metgasco's revenue in Q2 FY25. The outlook for Metgasco appears promising with the expected increase in gas production and revenue, demonstrating the company's progress and potential growth in the upcoming quarters.