Drilling work in Texas completed by Pan Andean

Oil and gas producer Pan Andean has completed its Vrazel No. 2 well in the Danbury Dome area onshore Texas.

The well is expected to produce at a rate of 1.9m cubic feet of gas per day and will be tied into existing pipelines within days.

Pan Andean - which is chaired by Dublin businessman John Teeling - holds a 21% interest in this project.

He said today: "Finally Vrazel is commercial. Drilling confirmed the presence of a number of gas zones. Technical problems greatly delayed the completion process, but now all is in place for commercial production. Current gas prices make this a profitable venture for Pan Andean.

"Expected production and cash flow from Vrazel complements our other successful producer in the area, The Zachry - Korenek No. 1 discovery. These two discoveries bode well for the forthcoming drilling program on our 100% owned properties in the Danbury Dome area.

"Pan Andean expects to make an announcement specific to this venture in the coming weeks," Teeling added.

Pan Andean also expects to begin drilling at its 50% owned Hi Island A-68 Block in the Gulf of Mexico in a few days.