Sep 23, 2016

Armour kicking goals with Kincora assets

Armour kicking goals with Kincora assets

Armour Energy has despatched its first load of crude oil, about 53,000 litres, from the Emu Apple oil field near Roma in south-west Queensland.

Armour started oil production in August and the field is currently producing at a steady rate of 42 barrels per day.

The company said the operating cost per barrel of oil, including transportation cost to the refinery, was $21.50 per barrel.

“Armour is pleased to have achieved its first production and sales milestone, and looks forward to restarting gas production through its Kincora gas facility in the coming months,” company secretary Karl Schlobohm said.

Armour acquired the Kincora assets from Origin Energy last year for $10 million cash and $3 million in deferred consideration.

“The Roma Shelf has historically spawned numerous oil and gas companies such as Hartogen, Crusader, Beach, AOG and Bridge and it goes on giving,” Armour Energy executive chairman Nick Mather said.

“Armour will be the next. Armour’s advantage is a new generation of 3D seismic techniques to find oil and gas here and very efficient field development and oil and gas recovery techniques.

“Clearly there are many more oil and gas pools here. Historically 37 per cent of wildcats on the Roma Shelf have been discoveries. That’s an enviable record.”

 

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