Neon completed the Lombardi 17-27H well in the company’s North San Ardo oil field on March 21, 2010. The well was drilled into the southern lobe of the prolific Lombardi oil sand reservoir.
The well was drilled horizontally to 3775ft (1150mt) into a thick section of the Lombardi reservoir, and encountered excellent oil shows throughout a 715ft (218mt) interval, the company said. A slotted liner was placed over that section in order to produce oil from the entire interval.
The well is tied back to existing production facilities on the central pad, commenced production on March 24, 2010, and is currently producing at a rate of 225bopd.
Ken Charsinsky, managing director of Neon Energy, said: “This successful development well endorses our decision to mitigate the natural decline in North San Ardo field production at a time when drilling is relatively inexpensive and oil prices are strengthening. The well came in as prognosed, and we expect payback of the investment in under three months at current rates and prices.”
