In a few short months, a lot has happened at ATP Oil & Gas (NASDAQ: ATPG) on the operations front – both domestically, and internationally.

Domestically, the company completed its fourth well at Telemark hub in the deepwater Gulf of Mexico (100% WI) utilizing the ATP Titan which recorded IP  rates in excess of 7,000 BOEPD (85% oil). Most recent, ATPG reported completing a workover project at its Mississippi Canyon Block 941 A-2 well in the deepwater Gulf of Mexico with initial test flow rates of 4,000 BOEPD (90% oil). After tieback, ATPG estimates the A-2 well to produce at a rate of 4,000 to 5,000 BOEPD.

OAG360 notes that the company still has additional catalysts in the pipeline for 2012 that are expected to add to the company’s flowing production levels.  An additional workover at Mississippi Canyon on the A-1 well is scheduled for this year, and on the Green Canyon Block 300 at Clipper, the company expects first production from two wells in Q3’12 or early Q4’12 that previously tested at a combined 22.1 MBOEPD (16.4 MBoe/d net; 62% oil).

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International Operations Making Headway:

Internationally, ATPG’s Shimshon well (40% WI) encountered approximately 62 feet of natural gas pay in the Bet Guvrin sands of the Levant Basin offshore Israel.  The company did not specify in the news release whether the 62 feet of pay was net or gross; however, ATPG mentioned more information would be released during Q3’12.

The Shimshon well is in a water depth of 3,622 feet and was drilled to a subsea depth of 14,445 feet. Isramco Negev, ATPG’s partner in Shimshon, hired Lockwood & Associates to perform an independent reservoir engineering resource evaluation of the project.  Lockwood’s evaluation used a 100% interest for the resource and assigned a 20% total geological and geophysical exploration probability of success.  Lockwood estimated Shimshon’s range of gross resource estimates between 1.5 Tcf to 3.4 Tcf (0.9 Tcf to 1.2 Tcf net to ATPG’s account), with a best resource estimate of 2.3 Tcf.

OAG360 notes that just north of ATP’s three offshore blocks in Israel are the Leviathan, Damar and Dalit blocks. Over the past two and a half years, Noble Energy (NYSE: NBL) discovered collectively more than 25 Tcf of natural gas in those three blocks.

ATP Oil & Gas will present at EnerCom’s The Oil & Gas Conference® 17 in Denver on August 12-16, 2012. Visit the Denver website for more information:

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