Monumental Energy's Ngaere-2 at 300 bbl/d flow

Executive Summary

• Monumental Energy Corp. reported initial flush production of 3,000 barrels and a stable unstimulated flow rate of 300 barrels per day (bpd) from the Ngaere-2 well.
• The company currently has four wells online (Copper Moki-1, Ngaere-1, Ngaere-2, and Waihapa H1) and has six additional wells in the pipeline that are permitted.
• Management estimates that 1,000 barrels of oil equivalent per day (boe/d) is possible, with production currently choked back to maintain stability while additional capacity increases are underway.

Key Details

• Ngaere-2 Well Performance:
  • Initial flush production: 3,000 barrels.
  • Stable unstimulated flow rate: 300 barrels per day.
  • Location: Within a four-kilometre radius of other online production wells and near the Waihapa production facility.
• Current Operations:
  • Total wells online: 4 (Copper Moki-1, Ngaere-1, Ngaere-2, Waihapa H1).
  • Pipeline status: Six additional wells are in the pipeline and permitted.
  • Production strategy: Constrained production is choked back to maintain stable flow; additional methods to increase daily production and capacity are being implemented immediately.
• Production Estimates:
  • Estimated potential: 1,000 boe/d (barrels of oil equivalent per day).
• Partnerships and Agreements:
  • Monumental Energy and New Zealand Energy Corp. (NZEC) are operators with co-venturer L and M.
  • Funding agreement exists between Monumental and NZEC for appraisal and development workover projects.
  • Licenses involved: PML 38140 and PML 38141 in the onshore Taranaki basin, New Zealand.
  • NZEC holds a 50% interest in the licenses.
  • Waihapa H1 was the latest successful project executed under this agreement.
• Company Strategy:
  • Focus on near-term oil production and longer-term natural gas development in the Taranaki basin.
  • Exposure to critical minerals via a 2% net smelter return royalty on Summit Nanotech's interest in the Salar de Turi lithium project in Chile.

Notable Quotes

• "The success of the last three wells has exceeded our expectations, and with a stronger than forecast oil price, this has created the perfect storm to grow the company and be able to continue additional workovers. Another six activities are currently in the pipeline along with new applications to drill fresh oil and gas wells." — Maximilian Sali, Chief Executive Officer