Cano Petroleum Commences Drilling at Davenport
|Friday, September 24, 2004
Cano Petroleum has commenced an infill drilling program on its Davenport Unit property. The first well will test the Pru Sandstone formation to a depth of 3,400 feet and drilling is expected to last between 7 and 10 days.
Cano's Davenport Unit is currently producing high quality 48 API crude oil. The 2,178 acre property is located in the mature and prolific Davenport Field in Lincoln County, Oklahoma. Initial development of approximately 180 wells by Magnolia Petroleum (the predecessor to Mobil Oil) began in 1924 and production to date stands at approximately 22-million barrels of oil.
"Our program is expected to significantly increase the recovery of original oil in place at Davenport, which is estimated to be about 70-million barrels," said Jeff Johnson, CEO and Chairman of Cano Petroleum. "Total recovery to date is 31.25% of that original oil yet other fields in Oklahoma with similar reservoirs have produced a total of 40% to 45% of the original oil in place. This information is consistent with our engineering estimates and illustrates the potential of this property."