In addition, the Company has completed drilling operations on the BML No. 7-1 ST #2 well in the BML project area. The well was drilled to a total measured depth of 10,900 feet. The well was completed and testing operations on the well are expected to be completed after the passage of hurricane Ivan, at which time the well will be placed on production.
The Company has suspended drilling operations in the BML project area and other affected areas, including the Weeks Island and North Turtle Bayou Fields, pending landfall of hurricane Ivan. The drilling rigs being utilized in the BML project area have been de-mobilized to safe harbor and, upon the passage of hurricane Ivan, the Company will resume drilling operations on the BML No. 19-2 and will commence operations on the BML No. 23-1. Saint Bernard Parish is expected to issue a mandatory evacuation order later today at which time the Company anticipates that it will protect its existing production by shutting-in its wells in the BML project area. The Company is continuing to monitor the movement of hurricane Ivan, and will take all necessary actions to insure the safety of its field personnel, third party vendors and field assets. Preparations have been made for operations to resume in the affected fields depending on the timing and location of hurricane Ivan as soon as it is safe to do so.
The Company was awarded successful bids on 18 tracts comprising 4,435 acres at the Louisiana State Lease Sale conducted during September 2004. The Company was uncontested and received successful bids on all of the tracts on which bids were submitted. This acreage, in part, will form the basis of the Company's near term drilling program in the BML project area.
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