Toronto-listed Mitra Energy has completed its acquisition of the Stag oilfield off Western Australia from previous owners Quadrant Energy and Santos.
Mitra revealed its Jadestone Energy subsidiary had closed the US$10 million acquisition of the oilfield on 11 November.
“Stag will bring production and cash flows to the company for the first time in its history, as well as a number of exciting re-investment options to create further value for shareholders,” Mitra chairman Paul Blakeley said.
“This is therefore a very exciting moment for Mitra and a pivotal point in our transition. We are also making good progress, working closely with the Australian regulators, to meet the objective of transferring operatorship of the Stag oilfield from Quadrant Energy to Mitra as a key next step in building our operating credentials.”
Mitra said that Quadrant would continue to act as operator of Stag on behalf of Jadestone under a transitional services agreement until the earlier of 31 October 2017 or upon Jadestone gaining the necessary regulatory approvals to take over as operator.
Stag lies in Block WA-15-L, about 60 kilometres off the West Australian coast, has produced roughly 3468 barrels per day since 1 July this year, well below the field’s 50,000 bpd capacity.
Mitra expects output to increase once it completes two workovers planned for this month, while further infill wells planned for next year are expected to also boost production figures.
The company has also previously announced plans for up to three further wells in the eastern area of the field in 2018 and has also previously stated it was considering appraisal activities in an undrilled low risk exploration area of Hart and Stag South.
