Karoon Energy (ASX:KAR) reports that it has safely brought the second Patola (PAT-2) well onstream on 27 March, at an initial rate of more than 12,000 barrels of oil per day (bopd) at the Patola field in Brazil

The company reports that with production from the PAT-2 well, which began production on 15 March, the current total production rate from the BM-S-40 licence is now more than 40,000 bopd.

Karoon Energy Chief Executive Officer (CEO) and Managing Director Julian Fowles said: “The flow rates being seen from both PAT-1 and PAT-2 are materially above original expectations.

Overall well flow rates are gradually stabilising on the FPSO, with total throughout now approaching the FPSO’s nameplate processing capacity of 80,000 barrels of fluid per day, maximising the efficiency of our operations.

“The flow rates being seen from both PAT-1 and PAT-2 are materially above original expectations”

After an initial period of Patola flush production, we anticipate that total rates from BM-S-40 will decline to approximately 33,000 to 35,000 bopd over the next few weeks, prior to entering a more natural decline phase.

All the vessels, equipment, and operating teams that have been utilised for the Patola project will now be demobilised.”

Karoon notes that production rates are expected to decline over the coming weeks.

Karoon Energy is an ASX-listed international oil and gas exploration and production company with assets in Brazil and Australia.

The company’s key producing asset is the Bauna oil field in the southern Santos Basin, offshore Brazil. In November 2022, Karoon acquired and took over the operatorship of Bauna from Petrobras SA for a consideration of US$380 million, plus additional oil price-related contingent payments of up to US$285 million.