Shares in Mosman Oil and Gas (LON:MSMN) soared on Monday after the company issued an update on its Welch Project.
The oil and gas exploration company noted that production at the project had significantly, almost doubling after recent repairs.
The firm previously reported oil production for the six months ending June 2018 of 4,309 barrels, marking a net Attributable to Mosman of 3,303 barrels at the project.
However, Since June, Mosman said that three additional wells have been restored to production, increasingly the amount of barrels considerably.
Subsequently, Mosman reported that between the period of 1 July to 27 July production at Welch was 1,180 barrels, producing 896 barrels.
According to the company, this represents an average aggregate production of circa 44 barrels per day, before taking into consideration royalties.
The previous six month average of circa 24 barrels per day had been below well capacity, as water injection pump repairs had stunted production levels.
“We proceeded with the repairs as a result of obtaining funding from the recent placement and the repairs have resulted in an immediate effect on production. This is an encouraging evidence that Mosman continues to achieve its strategic objectives to build a strong production base,” John Barr, the firm’s chairman commented.
Shares in the London-listed company are currently +21.57 percent as of 10.52AM (GMT).
