GlobeNewswire

Maha Energy AB (publ) (“Maha” or the “Company”) announces a revision to its 2019 Production Expectations, a General Operational Update and a Question and Answer Webcast

Share

­­­Maha Energy AB (publ)
Strandvägen 5A
SE-114 51 Stockholm
www.mahaenergy.ca

Press release
Stockholm
November 11, 2019

Maha Energy AB (publ) (“Maha” or the “Company”) announces a revision to its 2019 Production Expectations, a General Operational Update and a Question and Answer Webcast.

Revised Production Expectations
On August 23, 2019 the Company provided a revised 2019 net annual average expected production estimate of 3,300 – 3,600 BOPD.    Continued facility commissioning delays, and regulatory gas flaring restrictions has led the Company to revise its estimate downward. The Company now estimates 2019 annual average production of between 2,750 BOPD to 2,900 BOPD.

The combination of delays in commissioning of various critical equipment at the Tie field, greater than expected associated gas production and the mid October expiry of the temporary plant commissioning gas flare dispensation permit granted in April has necessitated a reduction in gas production at the Tie field.  This in turn resulted in the Company being restricted in its ability to produce oil at the Tie Field as expected.  The reservoir deliverability from the current wells remain more than the current 4,850 BOPD plateau and is not the reason for the reduction in the 2019 annual average production rate.

The current facility delays mainly concern:

  1. A main group separator, which is installed to increase separation efficiency was delayed due to a gas meter requiring volume certification by the authorities.
  2. Commissioning delays at GTE-7 (water supply well) impacted lower than planned injection volumes which in turn impacted the produced Gas Oil Ratio (GOR).  
  3. And though GTW has installed a total of 17 gas generators - 3 of the generators are rented by the Company to provide power to the Company’s operations and 4 of the generators are installed to supply power to the CDGN gas compression equipment. These are up and running but not running at full capacity until the overall facility is at near full capacity. Of the remaining 10 generators - 2 are now continuously running and supplying power to the local electrical grid.  The remaining generators are currently being systematically connected to the grid.

As and when GTW starts to deliver additional electricity through its generators, the waterflood reduces the GOR and the separator is running properly the Company will be able to progressively increase the oil production in line with previously communicated volumes.

Company Operational Update

Tie Field
Commissioning and tidying up the last loose ends continue at the Tie field.    The capacity of the Plant is currently 4,850 BOPD – however production is being restricted due to gas flaring limitations as above.  Current gas offtake capacity at Tie is 75,000 m3/day with a near immediate additional 30,000 m3/day of capacity being installed, hooked-up and commissioned presently.

During the month of October, the GTE-4 Sergi (long string) temporarily stopped free flowing and the Company has decided to proceed with installing artificial lift as and when operations allow.  This was not unexpected and therefore and in anticipation of this, the Company has already installed the surface jet pumping equipment on the site. Planning operations has now commenced to workover GTE-4 and install the downhole pump on the Sergi. 

As far as the Company is aware the refinery is still awaiting final clearance from the authorities to start up the previously installed expansion equipment at the refinery.  Once this permit is in place, the Company can increase its deliveries by 800 BOPD to 3,000 BOPD total to the refinery.  This final step will increase the daily oil offtake capacity at the Tie Field from the current 4,050 BOPD to 4,850 BOPD allowing the Company to safely sell its target maximum production for the field.

Tartaruga Field
Demobilization of the drilling rig is now complete.  The well test spread and the testing rig is anticipated to be on location to commence work at the end of November.  The work order will be as follows:

  1. 107D: The 107D well will be re-entered, worked over, completed and flow tested.  This work is anticipated to take 21 – 28 days, depending on test results; and
  2. Maha-1 (7-TTG-3D-SES) completion and flow testing of up to five different zones.  Thereafter the well will be hooked up to the Tartaruga Facilities and placed on production.

The Facilities at Tartaruga are currently sized to handle a maximum of about 800 BOPD (gross).  During the second half of 2019, work started to upgrade the facilities to handle up to 2,500 BOPD (gross) and associated gas.  Currently, engineering and design is being completed and physical work has already started.  The upgraded facilities are expected to be completed during the middle of the second quarter next year.  However, the plan is to incrementally increase production as and when capacity is brought on line.  It is not anticipated that there will be any significant production stoppages during the upgrade work.

Question and Answer Webcast
Jonas Lindvall, CEO of Maha Energy, will hold a Q&A webcast on Wednesday 13 November at 1600 hrs (CET) – details will follow on a separate Press Release and on the Company’s website.

Jonas Lindvall commented: “While I regret to issue this revised forecast – the Tie and Tartaruga fundamentals remain intact - from the Tie Field alone, we are well on our way to:

  • Production capability from the current wells exceeding the Processing Capabilities,
  • Processing capabilities of over 4,850 BOPD at our expanded facilities,
  • Consuming and or selling all expected associated gas (up to 100,000 M3/d); and
  • Offloading, delivering and selling 4,850 BOPD. 

             
With the recent exciting drilling results from the Tartaruga Field, the planned completion and testing of 107D and flow testing of Maha-1 the Company is poised to continue to grow!”

Maha Energy holds a 75% working interest in the SES-107 Tartaruga oil and gas concession onshore Brazil.  Petrobras holds the remaining 25% and is non-operator.

Adviser

Certified Advisor: FNCA Sweden AB, info@fnca.se, Telephone: +46-8-528 00 399.

For more information, please contact:        

Jonas Lindvall (CEO)
Tel: +1 403 454 7560        
Email: jonas@mahaenergy.ca

or

Ron Panchuk (EVP)
Tel: +1 403 454 7560        
Email: ron@mahaenergy.ca

Miscellaneous   

The information was submitted for publication through the agency of the contact persons set out above on November 11, 2019, at 5:00 a.m. (CET)

Maha in Brief

Maha Energy AB is a Swedish public limited liability company. FNCA Sweden AB has been engaged as Certified Adviser. The Company's auditors are Deloitte. The Company's predecessor Maha Energy Inc. was founded in 2013 in Calgary, Canada, by Jonas Lindvall and Ron Panchuk. In May 2016, the new group was formed with Maha Energy AB as parent company for purposes completing an initial public offering on the Nasdaq First North Growth Market Swedish stock exchange. Jonas Lindvall, CEO and Managing Director, has 26 years of international experience in the oil and gas industry, starting his career with Lundin Oil during the early days of E&P growth.  After 6 years at Shell and Talisman, Jonas joined, and helped secure the success of, Tethys Oil AB. Maha's strategy is to target and develop underperforming hydrocarbon assets on global basis. The Company operates three oil fields, Tartaruga and Tie in Brazil and LAK Ranch, in Wyoming, U.S. For more information, please visit our website www.mahaenergy.ca.

Important Information

Publication or distribution, directly or indirectly, of this press release could in some jurisdictions be subject to restrictions according to law and recipients of this press release, or part of it, are required to inform themselves of, and comply with, such legal restrictions. This press release is not for release, publication or distribution, directly or indirectly, in or into Australia, Canada, Hong Kong, Japan, New Zealand, Singapore, South Africa, Switzerland or the United States, or in any other jurisdiction where distribution of this press release could be illegal or subject to legal restrictions. Copies of this press release are not being made and may not be distributed or sent, in whole, or part, directly or indirectly, in violation of such restrictions. Failure to comply with such restrictions may constitute a criminal act under the United States Securities Act of 1933 (as amended) (“Securities Act”) or applicable laws in other jurisdictions.


Attachment

About GlobeNewswire

GlobeNewswire
GlobeNewswire
One Liberty Plaza - 165 Broadway
NY 10006 New York

https://globenewswire.com

GlobeNewswire is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.

Subscribe to releases from GlobeNewswire

Subscribe to all the latest releases from GlobeNewswire by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from GlobeNewswire

CONDITIONS FOR SALE OF RIKSBANK CERTIFICATES MAY 26, 202026.5.2020 09:30:00 CESTPress release

AUCTION DATE:MAY 26, 2020START DATE:MAY 27, 2020MATURITY DATE:JUN 3, 2020NOMINAL AMOUNT:380.0 BLNFIXED RATE:0.00 % PROJECTED LIQUIDITY SURPLUS FOR THE PERIOD MAY 27 - JUN 3 2020: 738.5 BLN SEK. AT FULL ALLOTMENT EXCESS LIQUIDITY WILL AMOUNT TO APPROXIMATELY 358.5 BLN SEK FOR THE PERIOD MAY 27 - JUN 3 2020. ALL MONETARY POLICY COUNTERPARTIES ARE INVITED TO SUBMIT BIDS TO THE RIKSBANK (08-6966970) BY 10.00 AM ON MAY 26 2020, AT THE LATEST. CONFIRMATION OF BIDS TO E-MAIL: RBCERT@riksbank.se THE LOWEST ACCEPTED BID VOLUME IS SEK 1 MLN. THE HIGHEST ACCEPTED BID VOLUME IS SEK 380.0 BLN. RESULT OF AUCTION WILL BE PUBLISHED AT 10.15 (CEST) ON MAY 26, 2020. COMPLETE TERMS AND CONDITIONS CAN BE RETRIEVED AT WWW.RIKSBANK.SE

ZetaDisplay lanserar teknologi partnerskap med Kastus26.5.2020 09:00:00 CESTPressemelding

Malmö –ZetaDisplay AB (publ) (Nasdaq Stockholm: ZETA) lanserar ett nytt partnerskap med det irländska företaget Kastus® för att tillhandahålla dess patenterade antimikrobiella ytbeläggningsteknik. Den nya tekniken som utvecklats av Kastus® och snart kommer att integreras i ZetaDisplays produktportfölj har visat sig vara effektiv mot bakterier på ytor och kan appliceras på pekskärmar och displayer där flera användare kommer att dela dessa. Oberoende studier har visat upp till 99,99 procent av bakterierna och svampar inklusive antibiotikaresistenta superbakterier som MRSA och E. coli blev blockerade på skärmen. Laila Hede Jensen, Chief Commercial Officer för ZetaDisplay, förklarar: "Vi är i startgropen för att distribuera lösningen globalt som gör det möjligt för handeln, kontor och andra offentliga platser att minska riskerna för medarbetare och besökare som använder dessa lokaler. Ett stort problemområde är pekskärmar och hur de kan skyddas bättre mot överföring av bakterier. Detta nya

ZetaDisplay launches technology partnership with Kastus26.5.2020 09:00:00 CESTPress release

Malmö –ZetaDisplay AB (publ) (Nasdaq Stockholm: ZETA) is launching a new partnership with Irish company Kastus® to provide its patented antimicrobial surface-coating technology . The new technology developed by Kastus® and soon to be integrated into the ZetaDisplay product portfolio has proven to be effective against surface bacteria on treated surfaces and can be applied to touchscreens and displays where multiple users will be sharing screens. Independent studies have shown that up to 99.99 per cent of surface bacteria and fungi including antibiotic-resistant superbugs such as MRSA and E. coli were blocked. Chief Commercial Officer of ZetaDisplay Laila Hede Jensen explains: “We are beginning to deploy solutions globally which are enabling retailers, offices and other shared spaces to mitigate risk for the teams and customers using them. A big area of concern are touchscreens and how they are better protected against transmitting surface bacteria. This new partnership enables us to re

Valmet continues to improve the competitiveness of its stable business26.5.2020 09:00:00 CESTPress release

Valmet Oyj’s press release on May 26, 2020 at 10:00 a.m. EET Valmet continues measures to improve the long-term competitiveness of its stable business especially related to Mill Improvements and Rolls and Workshop Services business mainly in EMEA. The aim is to improve the profitability and competitiveness of the respective businesses by optimizing the local presence globally and streamlining the way to operate. The measures are planned to be implemented during 2020 and they may include permanent lay-offs and the restructuring of selected operations. In total the estimated amount of headcount reductions is up to 200 positions. Valmet’s stable business employs altogether approximately 8,300 persons globally. VALMET Corporate Communications For further information, please contact: Aki Niemi, Business Line President, Services, Valmet, tel. +358 40 515 1145 Valmet is the leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy in

Telenor launches a Nordic Hub to stimulate growth across its Nordic markets26.5.2020 08:58:00 CESTPress release

A lean team in Telenor’s new Nordic Hub will work to strengthen key areas, such as 5G, IoT, and the business and SME segment, across the company’s Nordic markets. EVP Jukka Leinonen will continue is his roles as Head of Nordics and CEO of DNA in Finland. Jesper Hansen, current CEO of Telenor Denmark, will join as the Nordic Hub’s Chief Operating Officer, effective 1 August. “With a strong presence in the four Nordic markets, we are pursuing further growth opportunities across the region, through best-practice sharing, resource pooling and scaling of innovative products and solutions. This will increase customer value and improve the overall quality, service and experience in all Nordic markets,” says Jukka Leinonen, Head of the Nordics. Working closely with the company’s Nordic CEOs, the Nordic Hub team will facilitate greater collaboration across the region, fostering growth and competitiveness. “With Jukka at the helm of this united and collaborative force, we are well-positioned as