Delta Oil & Gas Provides Operational Update
Delta Oil and Gas
|Wednesday, August 24, 2005
Delta Oil and Gas, Inc. is pleased to announce the following operational update relating to the Company's three prospects.
Todd Creek Prospect
Testing of the Todd Creek well 13-28-9-2W5 drilled in June 2005 is nearing completion. The well has been cased as a potential gas well and is subject to "tight hole" status by the operator, meaning that no further information can be released at this time.
Drilling of a second Todd Creek well located in 7-16-9-2 W5 is expected to commence upon completion and review of the well data from 13-28-9-2W5. The 7-16 well was previously drilled in October 2004, and following post-drill evaluation and seismic re-work, the well's operator has recommended deepening the well to reach the target formations.
The operator of the Todd Creek concession has received a license to install a gas plant facility for up to 10,000 mcf/day of gas to be located just south of Company lands. While Delta Oil and Gas will have no direct interest in the plant, the immediate access to market for its anticipated production from the area, is of substantial benefit. Construction of the gas plant is expected to commence this winter.
Earlier this year, Delta Oil & Gas acquired a 10% working interest in 640 gross sections of land in the Hillspring area of Alberta. The operator of the Hillspring prospect has drilled 4 wells adjacent to the lands Delta has acquired. The operator is currently reviewing the data on these 4 wells and it is anticipated that a well will be drilled on Delta's land before the end of 2005.
Cache Slough Prospect
The Cache Slough prospect is located in a prolific natural gas area northeast of Sacramento, California. It is expected that the drilling of the first well on this property will commence shortly. The property covers approximately 825 acres of land and is located next to and partially on one of the largest gas fields in California. Pipelines located near and within the project area make it easy to transport and sell any production encountered.
About Delta Oil and Gas
Delta Oil and Gas is a growing exploration company focused on developing North American oil and natural gas reserves. The Company's current focus is on the exploration of its land portfolio comprised of working interests in highly prospective acreage in the Southern Alberta Foothills area and its newest interest in the Cache Slough Project in California. Delta Oil & Gas is looking to expand its portfolio to include additional interests in Canada and the USA.