Powder River Completes First Deep Well in Goliad County

Powder River Basin Gas Corp. on Tuesday said it has completed the first of two deep wells scheduled for the Weesatche project in Goliad County, Texas.

Powder River Basin Gas Corp. planned to complete the two deep wells after the 14 Frio wells were put into production. However due to extreme weather delays on the other projects, additional resources were applied to complete the first deep well in conjunction with the 14 Frio well program.

The Cutberth #2 well logged pay zones in two Middle Wilcox formations at 8600 and 9500 feet. The well was tested on the 9500 foot zone and tested 5836 psi with a flow rate of 3500 MCF gas per day.

The 8600 foot zone showed signs of condensate as well as gas, and will be tested at a later date.

The well also has the complete Frio series above 4000 feet which Powder River is producing on the other wells on this project.

The Cutberth #2 will be brought into production from the 9500 foot formation and is expected to maintain a flow rate of 3500 MCF per day. It will be in production in approximately two weeks. The well will be monitored over the next several weeks and may be adjusted depending on the pressure ratings. Successful Middle Wilcox wells in this area generally produce between 2000 and 4000 MCF gas per day average.

This will bring the gross production to approximately 1440 barrels of oil equivalent per day from Powder River's current holdings, with further development continuing on all other projects.

"We have been very fortunate we did not have the long delays caused by extreme weather we experienced on our other projects, and were able to complete a deep well ahead of schedule. I am excited and humbled at the 100% success rate we have enjoyed on this project thus far," stated Brian Fox, Powder River's CEO. Powder River Basin Gas Corp. is active in production, acquisition, and marketing of crude oil and natural gas properties.