Permex Petroleum Corporation announced the successful results obtained from the recompletion of a previously shut-in oil well on its West Henshaw property in Eddy County, New Mexico. In January 2022, Permex began the pilot re-entry on the West Henshaw well #15-3, one out of the 69 shut-in wells it currently owns. The re-entry and re-stimulation involved the West Henshaw property targeting the Grayburg formation at a depth of 2,850 feet.

The recompletion was successful and came online at an initial rate of 30 barrels of oil per day (bopd) and now has stabilized at 15 barrels of oil per day (bopd). Management believes the production rates from this mature, long-life well to continue with less than 10% decline year on year (YoY). The remaining 68 shut-in wells that the company plans to re-enter have potential to yield similar results increasing the company's total daily production solely by re-entering shut-in wells.

Permex's team will now move on to the next shut-in wells as well as activating the waterflood EOR candidates as part of the Company's developmental plans tiered towards sustainable growth.