AusTex Oil Limited (ASX:AOK) Provides An Update On Operations In Kansas
Sydney, Mar 16, 2010 AEST (ABN Newswire) - AusTex Oil Limited (
ASX:AOK) advises the following update on operations in Kansas.
Eisenhour #1 Well - McCracken Project
The operator, Castle Resources Inc., advises that drilling of the wildcat Eisenhour #1 well reached a Total Depth (TD) of 4100 feet overnight. The well had oil shows in the Cherokee formation between 3970 feet and 4009 feet, however, Drill Stem Tests conducted on two intervals failed to recover commercial oil or gas.
The well has been plugged and abandoned.
The 3200 acre McCracken Project is located in Ness and Rush Counties, Kansas, near the town of McCracken.
AOK holds a 63.92% Working Interest and 52.4% Net Revenue Interest in this project.
Cooper Project - Sheridan County
Drilling operations are underway on the water disposal well located south of the successful Clark #1 Well. The operator, Castle Resources Inc., advises that testing of the disposal system should commence next week.
Once the disposal well is completed, oil production from the Lansing-Kansas City formation in the Clark #1 well is planned. During completion of the well, the Lansing-Kansas City formation tested at 230 barrels of oil per day with associated water, with the Toronto formation testing at 250 barrels of oil per day. The well has been producing from the Lansing-Kansas City formation since late January. Permits have been obtained to drill another 3 wells to offset the Clark #1 well with drilling expected to commence by the end of March 2010. AOK holds a 53% working interest and a 45% net revenue interest in this project.
About Australian Oil Company Limited
Australian Oil Company Limited (ASX:AOK) (OTCMKTS:SGCSF) is an Australian-based energy company focused on under-explored, recently over-looked, world class oil and gas opportunities near under-supplied markets. The Company is currently focussed on conventional oil and gas exploration and production in the Sacramento Basin in California. Australian Oil has a portfolio of natural gas and oil producing wells in addition to prospects and discoveries at various exploration and appraisal stages. AOK is in the process of evaluating the acquisition of oil and gas producing and exploration assets to enhance the Company's strategic needs and deliver shareholder value.
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