The associated wells are currently being optimized by increasing pumping rates and reservoir pressure. Additional benefits of this project are increased oil recovery, stabilized oil production rates, reduced production declines and reduced operating costs.
The pipelines will also be used to recover associated gas which will be used to fuel well-site pumps and excess gas will be sold into the spot market.
A further benefit to the newly installed pipelines is that, going forward, oil and water trucking will be eliminated in this area which will substantially reduce operating costs. The net result of these enhancements is that the Silverdale area will realize higher oil and gas production, significantly higher netbacks and increased cash flow.
