Magnum Farm-In and Re-Entry Plans
Magnum Energy has agreed to participate in the drilling of an exploratory Cardium farm-in test well with a Calgary based private oil and gas company. The well is targeting a potential new oil pool anticipated to contain sweet light crude.
Magnum is participating by way of a 45% working interest subject to the Farmor's election at the equipping point. The Farmor retains a one-time election to convert its royalty interest in the Farmout Lands to a 30% working interest.
In such an event, Magnum's working interest would be converted to a 31.5 net working interest. Lease construction is currently under way, and the well is expected to spud within the next two weeks. Drilling to the target zone will take approximately eight days.
Magnum is also in the final stages of preparation of the re-entry of a potential gas well at a 100% working interest in Sedalia. Pending the results of the re-entry, several potential follow up development drilling locations have been identified.
- Magnum Energy Wraps Up Third HZ Provost Well (Jan 17)
- Magnam Amends JV Agreement with Nextraction Energy (Oct 31)
- Magnum Successfully Drills 1st Well at Provost Viking Oil Proj. (Oct 12)