AXP Energy delivers 55 barrels daily after testing

• AXP Energy achieved a production flow rate of 55 barrels of oil equivalent per day during a 10-day test at its Charlie #1 well in Oklahoma.
• The improved test results followed the installation of a 320 kW natural gas generator and enhancements to water handling capacity.
• The company plans to optimise water disposal infrastructure to establish permanent, continuous production at the site.

AXP Energy (ASX:AXP) recorded a production rate of approximately 55 barrels of oil equivalent per day during a controlled 10-day flow test at its Charlie #1 well on the Edwards Lease in Oklahoma.

The flow rate represents an increase compared to the previous 45 barrels per day reported in April following prior pump upgrades.

"By enhancing some settings, liberating more gas and improving water handling capacity, we are confident that we can deliver sustainable production rates and capitalise on higher oil prices and a lower cost operating environment in Oklahoma," said AXP Energy Managing Director and CEO Daniel Lanskey.

The initial testing saw the well output 40 barrels of oil and 95 thousand cubic feet of gas daily over 12-hour operating periods while using on-site gas to power operations.

The company stated that the installation of the gas generator removed a historical production constraint, and it aims to accelerate field development across nearby leases with minimal capital outlay.

Following the announcement the AXP Energy share price was unchanged at $0.0070.

AXP Energy focuses on oil and gas production across Colorado and Oklahoma while repurposing stranded gas to supply power to data centres.