Beacon Energy PLC, through its subsidiary Rhein Petroleum GmbH, has provided an operational update on the Schwarzbach-2(2.) ("SCHB-2(2.)") well in the Erfelden field. The well, equipped with a rod pump since late 2023, is currently producing at a rate of approximately 40 barrels of oil per day. However, the production rate is being hindered by drilling fluids that have invaded the reservoir near the wellbore, restricting flow rates.

To address this issue, the company has initiated sand jetting operations using a coiled tubing unit to stimulate the well. This technology aims to create deep perforations beyond the zone invaded with drilling fluids, with the expectation of increasing communication between the oil-bearing reservoir and the wellbore, ultimately boosting production rates. The sand jetting operation is estimated to take 10 - 14 days, with an expected cost of less than €500,000.

Following the sand jetting operation, the company plans to replace the rod pump with an Electrical Submersible Pump ("ESP") in April 2024 to maximize production. Additionally, the recovery of a downhole pressure memory gauge during the sand jetting operation will provide valuable information about formation pressure and the restriction of flow around the wellbore caused by fluid invasion.

Beacon Energy's CEO, Larry Bottomley, expressed confidence in the potential reserves of the Erfelden field despite the operational challenges, stating that the exceptional technical results of the SCHB-2(2.) well have significantly increased the field's potential reserves and provided confidence in the productivity potential from this and future wells. The company is fully funded to undertake the sand jetting operation and expects to provide a further update once a stabilised and sustained flowrate from the rod pump has been achieved.