Echo Energy reports production in 2018 averaged 865 boepd (ECHO)

Echo Energy (LSE:ECHO) released an operational update on Wednesday in which it highlighted production in 2018 averaged 865 barrels of oil equivalent per day (boepd). The company has two producing licenses, Fracción C and Fracción D, in Argentina. The company expects to give further details on both licenses ‘in due course’, in the meantime, Echo is determining the optimal deployment of funds for well interventions at the Canadon Salto field on the Fracción D license. Echo holds a 50pc working interest in both licenses alongside partner Compañía General de Combustibles S.A (CGC).

Today’s announcement also stated that Echo will release its full year results for 2018 during the week commencing 29 April. Ahead of results, the firm says its cash balance as of 31 December 2018 was $15.6m.

Last Month, the company announced that is it utilising the results from the EMS-1001 well to refine a mechanical stimulation design for the ELM-1004 well and that seismic activities across Tapi Aike are well underway. The Seismic survey is moving to cover the larger western cube of Tapi Aike after the eastern cube survey was completed.  Echo said initial indications suggested the data quality was good.

The share price of Echo Energy, currently 3.35p, was hit hard after the company announced its mechanical stimulation of the EMS-1001 well failed to recover hydrocarbons. The market currently values the company at £16m.