Givot Olam Oil Exploration LP (TASE:GIVO.L) today announced that it has completed the boring of sections 2 and 3 and part of sections 4 and 5 of its Meged 5 well near Rosh Ha'Ayin. When the boring is complete, combined flow from sections 1-6 will begin. The company is now cleaning the borehole and oil and gas are flowing.
Givot added that is presently waiting for a stable output pace, which it estimates will take between one and several weeks, at which point the company said that it will announce the flow obtained.
Last week, Givot chief geologist Tovia Luskin told "Globes", "We're close to completing the production tests, and we're planning to open the well to free flow. The final stage of the tests that we're conducting should be completed within 2-3 weeks. At the end of the test, we'll know if the well is commercial or not."
Givot's share price rose 8.9% by midday to NIS 0.096, giving a market cap of NIS 900 million, after falling 9.2% yesterday and 4.9% on Monday.
Published by Globes [online], Israel business news - www.globes-online.com - on July 7, 2010
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