AusTex Oil Limited (ASX:AOK) Updates on Operations in Kansas and Oklahoma - Well Completions
Sydney, Nov 16, 2011 AEST (ABN Newswire) - AusTex Oil Limited (
ASX:AOK) (OTCQX:ATXDY) is pleased to provide the following update to operations in Kansas and Oklahoma.
Snake River Project - 6,000 acres Northern Oklahoma
AOK 100% WI ~80% NRI
ETU #15-4 - Production Testing
The well has now been completed for production following hydraulic fracture stimulation in two separate stages of the Mississippi Lime interval between 4,395 feet and 4,590 feet. 7,000 barrels of slick water was pumped into the formation during frac operations. A downhole pump and pump jack were fitted and the well has been pumping for 7 days at a rate of ~400 barrels of fluid a day to surface.
Initially the well produced a quantity of gas and frac fluid with 92 barrels of oil and a commercial quantity of gas produced during the last 48 hours.
Speaking from Tulsa, Richard Adrey, Executive Director commented, "Our engineers are encouraged by this early recovery with the rate of oil and gas production expected to increase over the next 7 days as further frac fluid is recovered. The fluid level in the well is just below surface and we will continue to monitor to ascertain if anincrease in the pumping rate will optimise oil and gas production".
The ETU #15-4 well is the first well to go into production of a planned 10 vertical well program to deliniate the Mississippi Lime formation. The data from the initial vertical well program will be used to finalise locations for horizontal development planned during calendar 2012.
ETU #14-5 Well
Hydraulic fracture stimulation on the #14-5 well has now been scheduled to take place during the week commencing 28th November 2011 after the Thanksgiving Holidays in the USA.
Mollhagen #8 - Ellsworth County, Kansas
3,520 acres AOK 50% WI 38% NRI
Castle Resources Inc., as operator, reports that the well has now completed for production from the Arbuckle Formation with a pump jack and storage tanks in the process of being installed. The well is expected to commence oil production by the end of November.
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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