Emerald Energy, the oil explorer soon to be taken over by Chinese state-run oil company Sinochem Resources, said it continues to be pleased with the results achieved from its Colombian asset portfolio.Based upon the preliminary evaluation of the results from test drilling of the Mirto No.1 well, the company plans to elect to enter the next phase of the contract with a minimum work commitment of 1 well. On the Gigante No. 2 well, after evaluation of the test results the company intends to proceed towards commercial production. Under the terms of an association contract Colombian il firm Ecopetrol has the option to participate with a 50% interest in the development of the Caballos formation and reimburse Emerald 50% of the cost of the exploration.Capella No.SH1, the first of two slim-wells planned to be drilled in the Capella field, was drilled to a depth of 2,903 feet before encountering mechanical drilling problems which resulted in this well-bore being abandoned.The company is making some modifications to the drilling procedures on the well. The well is planned to take about one month to drill and evaluate.Gross oil production averaged 4,196 barrels per day during August, with the Capella heavy oil field contributing 243 barrels per day to this total, the company said.