AusTex Oil Limited (ASX:AOK) Provides An Update On Operation On Leases In Oklahoma
Sydney, April 6, 2010 AEST (ABN Newswire) - AusTex Oil Limited (
ASX:AOK) (PINK:ATXDF) advises the following update on operations on leases in Oklahoma.
Sweet Lease - Pawnee County
- J&O #1 Well successfully deepened to 3230 feet
- Logs indicate 53 feet of Net Pay over 2 zones
- Oil and Gas displaced to Surface
The J&O #1 well was originally drilled in 1948 to a depth of 2930 feet and oil was produced from the Upper Red Fork formation. As part of the ongoing evaluation of leases held by AOK, the well has been deepened to 3230 feet with the new Total Depth being reached over the weekend.
During drilling operations oil and gas was displaced to the surface. Logs indicate the well intersected the Lower Redfork formation between 3050 feet and 3076 feet and the Bartlesville formation between 3136 feet and 3204 feet. The Lower Redfork Formation contains 13 feet of net pay, with an additional 40 feet of net pay present in the Bartlesville Formation.
The well is to be completed in the Bartlesville formation for oil production. The Sweet #4A and Sweet #5A are currently producing oil from the Bartlesville Formation on this lease.
AOK holds a 100% Working Interest and 82.5% Net Revenue Interest in this project and is the Operator.
Lancaster Lease Group - Tulsa County
- Mayo Moore #7 - Oil and Gas Producer
The Mayo Moore #7 well has now been completed for production in the Big Lime and Oswego Lime formations. Current production is 10 barrels of oil per day and 50 thousand cubic feet of gas per day.
This well is a shallow well with a Total Depth of 1,135 feet, and was drilled as a 50 foot offset to the Mayo Moore #5 to test the shallower limestone formations. With a total investment of A$108,000 for the completed well, payback should be achieved within 6 months.
AOK holds a 100% Working Interest and 81.25% Net Revenue Interest in this project and is the Operator.
Speaking from Tulsa, Executive Director of AOK Richard Adrey commented, "The successful deepening of the J&O #1 well further confirms the opportunity we have. Our technical team has identified over 20 development locations on the Sweet Lease in addition to the current development on the Lancaster Lease Group. We are now able to plan the development of our leases at a faster pace with the funds to be raised from the recently announced Rights Issue".
About AusTex Oil Limited
AusTex Oil Limited (ASX:AOK) (OTCQX:ATXDY) is a Public Company listed on the Australian Securities Exchange (ASX) and the OTCQX.
AusTex is focused on exploration and development of oil and gas leases in the USA. The company produces oil and gas in Oklahoma and Kansas and is currently developing producing leases in both states with interests in 11,600 net acres of oil and gas leases in the Mississippi Lime Play. The Company has net production of circa 800 boe/day with Independent 1P reserves certified at 3.505 Million BOE with NPV10 of US34.8 million as at 31 December 2015.
US operations are based in Tulsa, Oklahoma, with an office at 1801 East 71st Street. International Energy Corporation (Oklahoma) is a wholly owned subsidiary and a licensed oil and gas operator in Oklahoma and Kansas.
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