PGNiG's Lubocino 2H Well in Pomerania Produces Gas Flow

Polish gas firm PGNiG confirms that its horizontal exploratory well in Lubocino, Pomorze (Pomerania) has produced gas flows.

A PGNIG spokeswoman, quoted by Polish media, said that first performance data will be available in a few weeks.

The Lubocino 2H project, located in the Wejherowo concession, is the first horizontal well of PGNiG in Pomorze and one of just three of its kind drilled and fractured in the country.

Lubocino is considered one of the most promising locations by the company, which holds 15 exploration concessions. The Polish government has been - as yet unsuccessfully - mobilizing other state-controlled companies to support PGNiG exploration in northern part of Poland.

Poland's Treasury Minister Mikolaj Budzanowski says that news coming from Lubocino should be treated as an encouragement for further efforts. Minister Budzanowski sees extending and stimulating the horizontal well in Lubocino as the next step, that, as he said, should be completed before mid-2013.

Exactly a month ago, PGNiG informed it had completed the first stage of this delayed fracturing operation in the lateral section in Lubocino and announced that results would be available in several weeks. Fracturing works in Lubocino are conducted by Halliburton Germany.

Earlier this week, Haliburton Germany entered a partnership with San Leon Energy with an aim of developing tight gas potential of carboniferous and deeper sections in three concessions in South Western Poland.