PetroTal said drilling had commenced at a key oil well in Peru that was expected to be completed as a producer.
Drilling commenced on the BN 95-2-2-2XD oil development well on Tuesday, the company said.
It would be directionally drilled to 3,040 metres total depth and take up to 45 days to drill and complete.
The well was the first in a program of three new producers designed to boost production to over 5,000 barrels of oil per day by mid-year 2019.
At 9:33am: (LON:PTAL) share price was 0p at 14.5p