GCIProspex Energy announces imminent flowtest of Viura-1B, revenue expected by December 2024
() , an investor in European gas and power projects, issued an update on its recently acquired Viura-1B development well in northern Spain, being drilled by HEYCO Energy Iberia. In late October 2024, the well successfully reached its revised targeted total depth of 4,500m (4,100m true vertical depth). Next, Viura-1B will undergo flow testing to determine the optimal flow parameters for long-term production.
says flow testing of Viura-1B is imminent, as the well is currently being connected to existing gas processing facilities on site. Viura-1B will begin generating revenues immediately, with production income expected in early December 2024. Revenues should stabilise following the flow tests as the asset is placed on long-term production.
In early October 2024, approved deepening Viura-1B by 450m to 4,500m to appraise the lower undrilled Utrillas-B formation and its gas-bearing potential. Operator Hayco then confirmed the presence of gas-bearing reservoir quality sandstones in Utrillas-B. To further assess the potential of the formation, is planning to flow test the Utrillas-B section during its planned plant shutdown in H2 2025.
Prospex owns 7.24% of Viura through its ownership of 7.5% of HEYCO Energy Iberia. Prospex will receive 14.47% of production income from the Viura gas field until payback of its initial capital investment from the acquisition in August 2024.
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Prospex continues to report good progress from its recently acquired Viura gas field in northern Spain. After reaching its revised total depth in early October 2024, the Viura-1B development well is now being prepared for flow testing, with initial production revenue expected within weeks. The test should validate flow rates from the significant resource discovered within the well's primary Utrillas-A target, help determine recoverable reserves from the Viura field, and confirm the project has met or exceeded its pre-drill objectives.
Additionally, investors have more flow testing to look forward to next year when and Heyco will appraise the lower Utrillas-B for its gas-bearing potential. In early October 2024, the companies decided to deepen Viura-1B to the then-undrilled section, which uncovered a new gas-bearing interval. Further analysis and flow tests are expected to quantify recoverable reserves. Based on initial results, we expect a significant upgrade in H2 2025.
For background, drilling of the Viura-1B commenced on June 22, 2024. The well encountered its main Utrillas-A reservoir unit 50m high to prognosis on October 2, 2024, confirming good quality reservoir rock, with significant gas shows throughout the drilling and coring of the main target. The well has already exceeded pre-drill expectations for its main target. Existing infrastructure connections to the Spanish national grid mean the Viura-1B well will begin to generate revenues immediately, with initial production income expected in early December 2024.
Additionally, Viura's existing Viura-1 ST3 well successfully recommenced operations on October 15 2024, with produced gas being sold into the grid. The well is back online following recent maintenance and upgrades ahead of its planned testing programme. It has been flow tested at rates up to 17 MMcfd (0.48 MMscm/d).
Currently, the Viura gas field has estimated gross remaining reserves of 90 Bcf (2.5 Bcm), of which 6.5 Bcf (0.18 Bcm) is net to Prospex as owns 7.23% of Viura through its 7.5% ownership of HEYCO Energy Iberia. Two additional development wells are scheduled for 2025 and 2026.
Viura is one of 3 onshore gas fields in Spain. El Romeral, where Prospex has a 49.9% interest, is another, making Prospex now a leading gas producer in Spain. Five new wells on the El Romeral concessions are currently advancing through the permitting process.
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