The first horizontal well is located in Johnson County and tests the potential for Barnett productivity south and to the east of the established production in this County. The well was drilled earlier this year, fracture stimulated in April and flow tested in order to recover the stimulation load fluid prior to achieving gas production. Initial gas production flow rates of 2.9- 3.0 MMcf/d were established. The well is currently flowing into production facilities at rates in excess of 2.5 MMcf/d. It is expected that production declines will occur from this excellent starting point and follow a profile that has been observed in other commercial Barnett wells.
- Three additional horizontal wells have been drilled in northern Hill County. The wells have been hydraulic fracture stimulated and are currently in the early flowback phase of the completion program. This program has been designed to evaluate the effectiveness of closely spaced horizontal wells. It is anticipated that production rates this fall should be enhanced by the geometry of the wells and the procedures used to stimulate these wells.
- A ten square mile 3-D seismic program has been acquired and processed covering a significant land block held by the joint venture group in eastern Hill County. Efforts to interpret the seismic in this structurally more active and complex area are continuing. Drilling plans will be determined at a future date pending a clearer understanding of the seismic interpretations and potential drilling challenges.
Mr. Ron Hietala, President of Triangle USA, comments "This is our first producing well and we look forward to increasing production from our other projects. We are actively seeking other projects in the Fort Worth Basin which have short term drilling and completion requirements due to pending lease expiries, equipment shortages and capital commitments beyond the scope of the projects' partners. In addition, opportunities in similar basins are currently under evaluation and will be announced once completed".
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