FX Energy Begins Drilling Sroda-4 Well in Poland
FX Energy
FX Energy reports that drilling is underway on the Sroda-4 well in
the Fences II project area in western Poland. The well plans to test a
Rotliegendes sandstone at a depth of approximately 3,500 meters. The Sroda-4
well is the first well to be drilled by FX Energy in the Fences II project
area. The Polish Oil and Gas Company ("POGC") owns a 51% interest and will
operate the well and FX Energy owns the remaining 49% interest.
Operations on the Rusocin-1 well are expected to begin later this month with a projected spud date in early October. The Rusocin-1 well will test a pinch-out target in the Rotliegendes sandstone at a depth of approximately 2,500 meters. POGC is the operator and owns 51% and FX Energy owns 49%. The Rusocin-1 well is located approximately 8 kilometers south of the Zaniemysl-3 well, a successful Rotliegendes discovery announced earlier this year.
FX Energy will pay 100% of the drilling costs on the Sroda and Rusocin wells, all of which will apply to the Company's earning requirements for the Fences I and II project areas. Upon completion of the drilling phase of the wells, the Company will have fully earned its interest in the Fences I and II project areas and will own a 49% interest in approximately 900,000 acres and a 24.5% in the 45,000 acre Zaniemysl area in Fences I.
FX Energy also reported that five new drilling prospects have been identified by the Company's technical team. FX Energy is in discussions with POGC in order to begin the approval process necessary prior to drilling. A seismic acquisition program to provide additional data for drillsite selection on three of the prospects has already been approved and is scheduled to be completed within the next 30 days. "In order to keep our drilling program on schedule for 2005 we need to get these prospects into POGC's approval and tender process so that we can be ready to begin drilling additional wells as soon as possible," said David N. Pierce, FX Energy's CEO.
Three of the prospects Dolsk (Gawrony), Donotowo and Lugi (Gola) are pinch-out type plays; the other two, Srem (Groblenka) and Mieczewo are structural plays. All of the prospect names are subject to change during the approval process with POGC.
Domestically, the Company plans to drill three wells in close proximity to its producing fields in Railroad Valley Nevada over the next several months. The cost of these wells is not expected to exceed $250,000.
In conjunction with the completion of the April 15, 2004 European offering and the subsequent sale of 950,000 shares of common stock to existing stockholders with contractual antidilution rights, their successors-in- interest and others, the Company's cash position now stands at approximately $35 million.
FX Energy holds interests in four project areas in Poland:
The Fences I project area covers approximately 265,000 acres in
western Poland's Permian Basin. FX Energy holds a 49% interest except for approximately 45,000 acres around the Zaniemysl-3 well where FX
holds 24.5%, CalEnergy holds 24.5% and POGC holds 51%.
The Fences II project area covers approximately 670,000 acres in
western Poland's Permian Basin. FX Energy has a 49% interest in
Fences II and POGC holds 51%.
The Fences III project area covers approximately 770,000 acres in
western Poland's Permian Basin. FX Energy holds a 100% interest.
The Wilga project area covers approximately 250,000 acres in central
Poland; FX Energy holds a 45% interest.
Operations on the Rusocin-1 well are expected to begin later this month with a projected spud date in early October. The Rusocin-1 well will test a pinch-out target in the Rotliegendes sandstone at a depth of approximately 2,500 meters. POGC is the operator and owns 51% and FX Energy owns 49%. The Rusocin-1 well is located approximately 8 kilometers south of the Zaniemysl-3 well, a successful Rotliegendes discovery announced earlier this year.
FX Energy will pay 100% of the drilling costs on the Sroda and Rusocin wells, all of which will apply to the Company's earning requirements for the Fences I and II project areas. Upon completion of the drilling phase of the wells, the Company will have fully earned its interest in the Fences I and II project areas and will own a 49% interest in approximately 900,000 acres and a 24.5% in the 45,000 acre Zaniemysl area in Fences I.
FX Energy also reported that five new drilling prospects have been identified by the Company's technical team. FX Energy is in discussions with POGC in order to begin the approval process necessary prior to drilling. A seismic acquisition program to provide additional data for drillsite selection on three of the prospects has already been approved and is scheduled to be completed within the next 30 days. "In order to keep our drilling program on schedule for 2005 we need to get these prospects into POGC's approval and tender process so that we can be ready to begin drilling additional wells as soon as possible," said David N. Pierce, FX Energy's CEO.
Three of the prospects Dolsk (Gawrony), Donotowo and Lugi (Gola) are pinch-out type plays; the other two, Srem (Groblenka) and Mieczewo are structural plays. All of the prospect names are subject to change during the approval process with POGC.
Domestically, the Company plans to drill three wells in close proximity to its producing fields in Railroad Valley Nevada over the next several months. The cost of these wells is not expected to exceed $250,000.
In conjunction with the completion of the April 15, 2004 European offering and the subsequent sale of 950,000 shares of common stock to existing stockholders with contractual antidilution rights, their successors-in- interest and others, the Company's cash position now stands at approximately $35 million.
FX Energy holds interests in four project areas in Poland:
RELATED COMPANIES
Most Popular Articles
- Blockchain Demands Attention in Oil and Gas
- Macquarie Sees USA Oil Production Exiting 2024 at 14MM Barrels Per Day
- CNPC Opens Sea-Land Oil Storage and Transport Facility in Bangladesh
- Oman Sees Increasing Ship-to-Ship Transfers of Russian Oil Bound for India
- US Govt Makes Record Investment of $6B for Industrial Decarbonization
- Perenco Still Searching for Missing Person After Platform Incident
- Eni, Fincantieri, RINA Ink Deal on Maritime Decarbonization
- Oil Falls as US Inventories Increase
- Czech Utility CEZ Bucks Weaker Prices, Demand to Log Record Annual Profit
- Ithaca Energy Studies Deal for Eni's UK Upstream Assets
- Equinor Makes Discovery in North Sea
- Standard Chartered Reiterates $94 Brent Call
- India Halts Russia Oil Supplies From Sanctioned Tanker Giant
- DOI Announces Proposal for Second GOM Offshore Wind Auction
- Centcom, Dryad Outline Recent Moves Around Red Sea Region
- PetroChina Set to Receive Venezuelan Oil
- Czech Conglomerate to Buy Major Stake in Gasnet for $917MM
- US DOE Offers $44MM in Funding to Boost Clean Power Distribution
- Oil Settles Lower as Stronger Dollar Offsets Tighter Market
- UK Grid Operator Receives Aid to Advance Rural Decarbonization
- Chinese Mega Company Makes Major Oilfield Discovery
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Another Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Vessel Sinks in Red Sea After Missile Strike
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension
- Equinor Makes Discovery in North Sea
- Standard Chartered Reiterates $94 Brent Call