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Melbana Energy Limited ( (AU:MAY) ) has issued an update.
Melbana Energy has provided an operational update on its Block 9 onshore oil project in Cuba, where new seismic data and results from the Amistad-2 well have refined its understanding of the reservoir and reduced risk for future production wells. Analysis indicates that Amistad-2 missed its primary objective due to subsurface misinterpretation from poor legacy seismic, leading to drilling into a breached forelimb where hydrocarbons had migrated to surface.
The company has successfully reopened the earlier Amistad-1 well, which is now producing oil unassisted from a recharged reservoir, supporting the plan to drill a new production well in that area and confirming the field’s productivity. Melbana will also resume 100% ownership of the Block 9 Production Sharing Contract after partner Sonangol failed to cure its defaults, giving Melbana full strategic control over the asset while it reviews options to recover amounts owed and positions the Cuban oilfield to benefit from increased global focus on energy security.
More about Melbana Energy Limited
Melbana Energy Limited is an Australian-listed oil and gas exploration and production company with a focus on onshore and offshore hydrocarbon projects. The company holds interests in Cuba’s Block 9 Production Sharing Contract, where it operates exploration and appraisal activities aimed at developing significant onshore oil resources for energy markets.
Average Trading Volume: 14,890,862
Technical Sentiment Signal: Sell
Current Market Cap: A$28.36M
For detailed information about MAY stock, go to TipRanks’ Stock Analysis page.