Pantera Puts in Good Shows at West Texas Well Completion

Pantera Petroleum, Inc. has announced that rig operations on the Sibley 84-1 well have now been completed, and the crew is currently setting up the production equipment and flow lines for commercial distribution.

The well flowed continuously at a substantial natural flow rate throughout Tuesday without the remaining step of acidization of the perforations, or holes made in the production formation through which formation gas enters the wellbore.

Acidization should be a significant additional step as it clears out the cement at the perforations and etches the limestone matrix to create permeability to increase the flow rate. Yesterday, the well had 2500 pounds per square inch ("PSI") of shut-in pressure, approximately 1000 PSI more than Saturday morning. In spite of heavy brine water to hold back the gas, the pressure and the gas kicks caused the crew to shut down the well several times over the past week to bleed off the gas in order to complete running the production tubing to the packer, which is the sealing device that prevents production flow from entering the annular space, or the space between the tubing and the well casing.

The crew is currently setting up the production unit and laying the flow line from the wellhead to the production unit. The remaining steps include setting the gas meter in place at the pipeline tie-in and laying the flow line from the production unit to the meter. Plans are to lay the flow line to make the final tie-in to the meter early next week. Commercial gas sales should commence shortly thereafter. Once the tie-in to the meter is done, we intend to test sales flow rates and pressure so that the correct amount of acid stimulation can be calibrated to thoroughly clean out the perforations so that gas can flow unobstructed.

Our operating partner, Stratco Operating, intends to now drill out the additional wells in the Block 83 84, including the Sibley 84 #2, a shallow drill, and the Gulf-Baker 83 -1, an additional re-entry well targeting the Fusselman and Devonian pay zones.

"We now have gas flowing at the Sibley 84-1 well, and we are extremely pleased and excited at the pressure readings and substantial natural flow rate of the well without acid stimulation. We look forward to the acid stimulation program for the well and its anticipated results," commented Pantera Petroleum's CEO, Chris Metcalf.


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