Because of these positive results at the Powell #2 well, Brinx is now actively taking steps to develop the field at Owl Creek by evaluating the next development location for drilling to start as soon as possible. The next well will be an offset to the Powell #2 and may potentially contain the same lower pay zone as the Powell #2. The Company notes that it may drill up to 24 additional wells at Owl Creek if on 40-acre spacing.
Of particular note is a second hydrocarbon showing in the Powell #2, found in the Viola Formation. This showing was over 50 feet thick, and the logs indicate that is may also be productive. However, completion of this zone will not take place until sometime in the future.
The Owl Creek Prospect can now be classified as a new discovery in the Trenton zone of the Viola Formation. Earlier, the Powell #1 well was completed and has been producing and selling oil and gas for approximately 6 months. But, similar to the Powell #2, a second potential pay zone exists in the Powell #1 -- the Upper Viola -- and will be tested in the future.
The Powell #2 well was drilled to a total depth of 5617 feet on May 18, 2006. Completion began on June 6th and after a remedial cement job the well was re-perforated in the lower zone on June 21st. The well started naturally flowing oil and gas under its own pressure after only a small amount of the load water was removed by swabbing. Initially, the well flowed at a rate of 10 to 15 barrels of fluid per hour (240 to 360 barrels per day) with 80% - 90% being oil and the remainder being load water.
Brinx Resources hold a 50% working interest in the 1100 acres in the Owl Creek Prospect. In addition to the Trenton zone of the Viola, other wells in the immediate vicinity have had oil and gas shows in the upper Viola, Hunton, Hart, Bromides, and Gibson zones. Additional drilling will help further define the project potential in these other pay zones.
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