Silvermere Energy has confirmed that preparations for production from the I-1 well on its Mustang Island asset located in Kleberg County, Texas waters in the Gulf of Mexico are well advanced and remain in line with previous advice that production is scheduled to commence before the end of 2011.

The operator, Dominion Production Company, has reported to the Company that platform construction is substantially completed. The remaining outstanding item is the line heater which is being manufactured locally by a contractor and is expected on site in Galveston on 17 November 2011. Final completion of the platform is therefore expected before the end of November 2011. This will be followed by load-out operations which involve the loading of the tripod, well-deck and pipeline risers onto work barges, ready for mobilisation to the designated platform location.

The operator has confirmed the delivery to the area of 1,250 feet of 6-inch pipeline which will be used to connect the main 20-inch trunk line to the designated platform location in preparation for tie-in. A hazard survey has been completed for the pipe-laying barge and the pipe-laying operation is scheduled for the first week of December. The 6-inch pipeline is designed with sufficient gas and condensate capacity to support production from future wells in addition to the I-1 well.

Once load-out is completed in Galveston, the loaded work barges will be mobilised to the designated platform location and made ready for installation. The installation programme will include lowering the tripod to the sea bed and securing it by driving pilings into the seabed, lowering the deck onto the tripod, attaching the pipeline risers and connecting the production equipment to the well-head. The programme is scheduled to take 17 days and will be completed by the tie-in of the well to the pipeline.

Weather delays, if encountered, could extend the above installation time frame to some extent but should not prevent production commencing on schedule before the end of the year. Further updates will be provided as appropriate.

Tags: Silvermere Energy