Logs and sidewall cores for the PP F-39 indicate that this potential gas well has approximately 15 feet of gas pay and potentially3-4 feet of oil pay. Based on this information, the operator elected to complete the well for production and ran casing in the well. The well is now awaiting a completion unit.
The operator has now moved the drilling rig onto the next drilling site (the PP F-42) and expects the drilling of this potential gas well to be completed within 1 week. Previously, the first of 10 wells at Palmetto Point (PP F-40) was drilled to a total depth of 3,892 feet and casing was run to total depth.
Based on initial core analysis and logs, the well appears to have two Frio Gas zones. The first zone appears from 2,749 feet to 2,751 feet and the second from 3,181 feet to 3,194 feet in depth. Given these findings, the operator elected to run 3,340 feet of production casing into the well and to complete it for production. The F-40 is now awaiting a completion unit. The second of 10 wells (PP F-118) was drilled to a total depth of 3,800 feet. Logs and sidewall cores for the PP F-118 indicate that this potential gas well has approximately 16 feet of pay. Based on this information, the operator elected to complete the well for production and ran casing in the well. These wells are now awaiting completion units.
The drilling program is being conducted by Griffin & Griffin Exploration in its capacity as operator. It includes the drilling, logging, testing, completing, and equipping for production (or, if applicable, the plugging and abandonment) of 10 wells. Griffin anticipates drilling to a subsurface depth equal to such depth as is necessary to penetrate the sands of the Frio Formation identified as potentially productive of oil and/or gas. Griffin has drilled, owned, or operated more than 100 Frio wells in the region.
Griffin has utilized seismic "bright spot" technology, a technology providing a tool to identify gas reservoirs and to delineate the reservoir geometry and limits. Utilizing these critical factors has improved reserve estimates and the geologic success ratio that has made the Frio an economical and predictable reservoir.
The Frio in the area of Southwest Mississippi and North-Central Louisiana is a very complex series of sand representing marine transgressions and regression and, therefore, the presence of varying depositional environments. Structurally, the Frio gas accumulations are a function of local structure and/or structural nose formed as a result of differential compaction features. However, stratigraphic termination (i.e., up-dip shales outs of sands) also plays a role in most Frio accumulations. The stratigraphy is so complex that seismic HCL evaluations are the only viable exploratory tool for the Frio prospect.
Delta has acquired a 10% gross working interest in the drilling program.
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 the Southern Alberta Foothills area, the Cache Slough Project in California, the Strachan Prospect northwest of Calgary, the Mississippi prospect a horizontal oil well in Saskatchewan, and the Owl Creek Prospect in Oklahoma.
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