Petrol Oil & Gas Begins Coal Creek Development Project
Petrol Oil and Gas says that it has initiated a $10 million drilling and development plan for its Coal Creek project, located in southeast Kansas. The Coal Creek plan involves drilling and developing approximately 82,000 acres of Coal Bed Methane (CBM) and other gas reserves in Coffey County Kansas for which Petrol holds a 100% working interest. To support the development activities, Petrol filed 30 drilling intents and finished drilling two salt water disposal (SWD) wells in the area. The entire project is anticipated to encompass about 500 production wells, 4 SWD wells and several large networks of gas gathering pipelines and processing systems.
"We are excited to commence drilling on this property," said Paul Branagan, Petrol's Chairman and CEO. "As we have already successfully drilled and tested 12 wells on the property for CBM and other natural gas reserves, we have been planning the development of Coal Creek for the past several months while we finalized our recent $50 million financing package. With the first $10 million funded in early November, Petrol filed 30 drilling intents, 28 for gas production and 2 for SWD purposes. We divided our large 82,000 acre Coal Creek Project into three separate operational areas to take advantage of efficiently connecting and transporting produced natural gas into the interstate pipelines that cross our leases.
Petrol's first Coal Creek production wells are currently being drilled in the Burlington area along with one of the SWD wells. The other SWD well was just drilled in the Waverly area, roughly 8 miles to the northeast of the Burlington area. Petrol intends to provide operational updates for the Coal Creek project as it rapidly moves forward with the drilling and infrastructure program.
Petrol's existing 12 CBM wells will be incorporated with 10 new
production wells to form the basis for Phase I development of the
Burlington area. Phase I development of the Waverly area will start
with 18 new production wells.
- Petrol Names Steve Littell Chief Operating Officer (Aug 22)
- Petrol Welcomes New Board Members (Dec 14)
- Petrol Closes on Additional Financing for Coal Creek Project (Jun 07)