AusTex Oil Limited (ASX:AOK) Successfully Fracs 2nd Mississippi Lime Well in Northern Oklahoma
Sydney, Dec 7, 2011 AEST (ABN Newswire) - Following the successful completion of the ETU #15-4 well, AusTex Oil Limited (
ASX:AOK) is pleased to report the successful fracture stimulation of the offsetting development well ETU #14-5 located in Kay County, Oklahoma. This is the second well under completion of a planned 10 well program to delineate the Mississippi Lime interval across the company's leases.
With continued large investment by other operators on adjoining leases, significant production increases are being reported from the Mississppi Lime play in both vertical and horizontal wells.
See figure 1:http://media.abnnewswire.net/media/en/docs/ASX-AOK-660132.pdf
ETU #14-5 Production Well under Completion
On Monday 5th December (CST) the ETU #14-5 vertical development well was successfully fracture stimulated across two intervals in the Mississippi Lime formation between 4,342 and 4,610 feet. The well is currently flowing back fluid with approx. 2,000 barrels or 16% of the frac fluid recovered between 11pm Monday night and 2pm Tuesday afternoon whilst maintiaining 180 psi pressure at the surface.
An electric submersible pump (ESP) will be fitted over the next few days with flow lines and surface infrastructure already in place to commence production testing.
Speaking from Tulsa, Executive Director, Richard Adrey commented, "The operation ran smoothly with all instrumentation indicating a successful result. We are encouraged to see the well flowing back at this rate and will be monitoring the well constantly so that we can get the pump on as soon as practicable. With another 8 vertical wells planned over the coming months we will certainly gain a full understanding of the reservoir beneath us before going into a Horizontal Development program. A number of companies have expressed interest in particpating in our planned Horizontal Program next year and we are continuing both discussions and negotiations".
Drilling Program Ongoing
Drilling of an additional 8 vertical wells is planned to continue in Calendar 2012. Information gained from this drilling program will be used to refine the planned Horizontal Drilling program.
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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