Avenue Group Inc., (OTCBB: AVNU) reports that an evaluation of the Heletz Field in southern Israel found proven and probably reserves of 4.494 million barrels of oil.

TRACS International, an Aberdeen-based consultant, performed the audit based on a re-evaluation of historical production data from the field, including more than 17 million barrels of oil produced from more than 90 wells drilled since the field was discovered in 1955.

Avenue also reports that its K27 well, which began production in 1986, was shut-in on Sept. 3 because of low volumes. In total, it has produced 15,200 barrels of oil. Workover operations were completed on Oct. 6. Avenue expects K27’s production rate to continue at 10- to 15 barrels of oil per day, with estimated recoverable reserves of 28,600 barrels of oil.

Avenue chief executive officer Levi Mochkin says, “The TRACS report further confirms our belief in the current resource of the Heletz field and the significant potential to increase production and add reserves from a variety of plays. As the field is re-developed over the coming months, we can expect a good portion of the resources to be upgraded to Reserves status.

“Furthermore, turning the non-performing K27 well into a producer via a low cost workover is illustrative of our ability to tap the significant potential of the Heletz field by reviving non-producing wells and turning them into revenue producing assets. This is good news for our company and for the State of Israel.”