Drilling on this well has encountered a shallow "Bartlesville Sand" gas zone that produced a significant gas flair upon testing of the zone. The zone is being logged, and undergoing economic and geological study to assess commercial potential of the new, non-CBM gas zone. A similar flair was experienced in the same gas zone on the LEX 1, and Brumbaugh #1-10 wells. The "Bartlesville Sand" gas zone is the first non-CBM gas target that has been found as part of the Company's CBM targeted drilling program.
The drilling of the Ellis #1-15 well follows immediately from the successful drilling of the Company's "LEX 1" and Brumbaugh #1-10 wells located on the same prospect. The Coal Creek Prospect is the third of six leased areas slated for development drilling by the Company as part of the development of its Arkoma Basin gas production initiatives.
To date, the Company has implemented development of a total of eight wells through its contracted operator, and participated in an ninth well -- the POE 1-29 drilled by Newfield. All wells drilled to date have reached the completion stage and have been productive with immediate gas sales to market.
Company Lease Well Name Operator Status /Prospect Wagnon Kellster #1-5 Oak Hills Energy Producing Wagnon Kyndal #2-2 Oak Hills Energy Producing Wagnon Bryce #3-2 Oak Hills Energy Producing Wagnon Calleigh #4-2 Oakhills Drilling Producing and Operating Panther Creek POE #1-29 Newfield Producing Coal Creek LEX #1 Oakhills Drilling Producing and Operating Coal Creek Brumbaugh #1-10 Oakhills Drilling Producing and Operating Coal Creek Ellis #1-15 Oakhills Drilling Drilling in and Operating process South Lamar Goodson #1-23 Oakhills Drilling Drilling site and Operating prepared
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