E&P Magazine
In a recent update on its operations, Circle Oil Plc. confirmed that its new 8.0-inch pipeline in Morocco was successfully pressure-tested, certified and commissioned.
The total delivery through the new pipeline is currently approximately 36,000 cu m per day (cm/d), or 1.27 million cu ft per day (MMcf/d). This is scheduled to rise to approximately 90,000 cm/d, or 3.18 MMcf/d by the beginning of March. Total deliveries through the old and new pipeline will then be approximately 150,000 cm/d, or 5.3 MMcf/d.
Further increases in production are expected through the year with fourth quarter production anticipated to be 230,000-240,000 cm/d, or 8.13-8.48 MMcf/d.
Circle, through its wholly owned subsidiary, Circle Oil Maroc Ltd., holds a 75% interest in the Sebou and Lalla Mimouna permit concessions, ONHYMhas the remaining 25%. In addition, Circle has a 60% interest in the Oulad N’zala permit concession, and ONHYM, 40%. Circle holds a 75% interest in the new pipeline, ONHYM has 25%.
Net revenues to Circle will be made on an annualized basis, increasing to approximately $14 million per annum on the initial increase of gas supply levels.
