Cue Energy Resources, a subsidiary of New Zealand Oil & Gas (ASX:NZO) has announced that the PB-20 production well has been drilled and is producing 800 barrels of oil per day (bopd).

The company said the result is contributing to the 33% increase in production since the start of FY 2023 to approximately 6,300 bopd.

It also said five more production wells are expected to be drilled this year.

Cue Energy Resources has a 12.5% interest in the Mahato PSC, located in Indonesia, where the PB-20 well is operating.