Premier provides an update on its recent operational activities.
Production year-to-date has averaged 57.1 kboepd. Summer maintenance activities have been successfully completed and production has returned to previous levels. As a result, production remains ahead of full year guidance of 55 kboepd, before any contribution from Solan.
Premier has hedged approximately 60 per cent of its 2015 2H liquids production at $92/bbl and 30 per cent of its expected liquids production in 2016 at $68/bbl. Premier will continue to seek to add to this position as market conditions allow. As a result of significant cost savings, Premier continues to expect full year opex of c. $16/boe.
Premier anticipates first oil from Solan in Q4 2015, as previously guided. Good offshore productivity and 97 per cent uptime has been achieved with the Regalia flotel. A number of the critical path platform systems have now been successfully commissioned including the firewater deluge system and other safety related systems such as the gas detection system.