Brookside Energy Limited is rapidly advancing toward completing its high-impact “Jewell Well” in the US, achieving “debt-free” status while achieving production-critical milestones.
The news comes amid a tense standoff between members of the Organization of the Petroleum Exporting Countries in the Middle East, with pundits increasingly concerned the discord could unleash a new level of volatility in the oil market.
It also comes just a little over a week after Brooksided managed to clinch a historic deal with Exxon, with the US energy giant claiming 4.5 per cent working interest in the Perth-based company’s Jewell direct spacing unit.
Brookside said they had managed to convert a lot of debt to equity on “very favourable terms” while keeping a foot-to-the-floor on achieving essential production milestones.
“We are happy to announce that we have completed the deal to repay the balance of the leasing facility, leaving our company in a firm cash position,” managing director David Prentice said.
“Today, we are also pleased to be able to announce the completion of construction work for the Jewell Well production facilities, now all set to receive the production stream from the soon to be completed well.
“We are also very well advanced on the tie-in line to the DCP gas sales market, so we can start selling gas as soon as the well is flowing back.”
Brookside will now turn its attention to completing the commissioning of the surface production facilities and constructing the line to the DCP gas sales line.
The company will also prepare the location to move in and rig up completion equipment.