Texas Crude Spuds New Well at Sugarloaf Project

Sugarloaf Prospect
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Empyrean has been advised by the Operator, Texas Crude Energy Inc ("TCEI"), that the fracture stimulation operations at Kennedy-1H commenced as scheduled on Monday, January 18. The operations thus far have been executed as planned with the fourth stimulation stage out of fourteen underway early on the morning of Thursday, January 21 local time. It is expected that the stimulations will be completed next week and thereafter the isolating plugs that are set in-between each stimulation stage will be drilled out with coiled tubing and the well will be flowed back to sales.

Easley-1 H - Commencement of Drilling

TCEI have also advised Empyrean that the Patterson #150 drilling unit has now completed rig-up and the Easley-1H well was spudded on Thursday, January 21. The well is scheduled to include a vertical pilot hole from which additional data on the Eagle Ford Shale will be gathered. The well has been designed with a 4,000 ft horizontal section and will access both the Austin Chalk horizon, which is locally prevalent within the Sugarkane Field and the Eagle Ford Shale when it is subsequently stimulated. The well is located approximately 2km to the north east of the Weston-1H well. The Easley-1H well will be the first new well to be drilled under the farmin agreement with Hilcorp Energy within the Sugarloaf AMI.



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