Lexington Resources to Drill Follow on CBM Well on Coal Creek Property
Lexington Resources will begin drilling on its Coal Creek property immediately following the completion of its Calleigh #4-2 Coal Bed Methane ("CBM") gas well, currently being drilled on the Company's Wagnon lease in Oklahoma. Concurrent with its Wagnon lease drilling, the Company is building the drill site for its "LEX 1" horizontal CBM gas well to be located on its Coal Creek leases in Hughes County, Oklahoma for drilling that is expected to begin in the next two weeks. The same drilling rig being used for the Calleigh #4-2 well will be moved directly to the LEX 1 well location in Coal Creek. The pooling order for the LEX 1 well indicates elected working interest participation in the well by other lease holders including major developer Chesapeake Exploration. Drilling and operation of the well will be controlled by the Company's designated operator, Oak Hills Drilling and Operating, LLC.
The Coal Creek lease is the second of six leased areas slated for drilling by the Company as part of the development of its Arkoma Basin CBM assets. Further preparations include the construction of almost 1 mile of road and the upgrading of further roads providing access to the drill site. A pipeline that will tie into gas market lines is also under construction on the Coal Creek lease at this time. Depths expected for the Hartshorne CBM gas target on the LEX 1 well will be approximately 25% deeper than those on the Company's Wagnon lease.
Current drilling on the Calleigh #4-2 well is proceeding as planned, with
the lateral portion of horizontal drilling in progress at this time. The
target zone has been encountered, and the estimated 2,000' horizontal section
is due for completion late this week. Results are expected to follow upon
completion and hookup to existing pipeline, compressor and area
infrastructure. The Calleigh #4-2 well is the fourth of up to five horizontal
gas wells to be drilled on the Company's Wagnon lease.
- Lexington Resources Spuds Petta #1 Well (Sep 06)
- Lexington Announces New Gas Production From Peyton 1-25 (Jul 24)
- Lexington Resources Closes Equity Placement (May 17)