FX Reports Record Production Levels
FX Energy reported that total oil and gas production for the Company has again reached record levels.
Company-wide production for the second quarter of 2007 was 593 Mmcfe, up some 291 percent compared to the 2006 second quarter. This is the third consecutive record quarterly production figure for FX. Production for the first six months of 2007 was 1,193 Mmcfe, more than triple that of the 2006 period. This result, too, is a new record for any six month period for the Company.
The Company's new production in Poland has been the driving force behind the gains. The Company has added two significant, new, discovery wells to its Polish production base over the last nine months. For the first half of 2007, the Company's Polish oil and gas production was 980 Mmcfe, a new record for the Company and a significant increase compared to 71 Mmcfe produced in the first half of 2006. Second quarter production was 486 Mmcfe, also a record and a significant increase compared to 35 Mmcfe from Poland in the second quarter of 2006.
The Company's Polish production in 2006 came from a single legacy gas well in which FX Energy owns 49% interest. Two new wells, Zaniemysl and Wilga, came on line in late 2006 and together account for the record production. FX Energy holds 49% and 82% interest, respectively, in the two new wells. Three more wells in the Company's core area in western Poland, all owned 49% by the Company, have been completed as new discoveries. These wells, too, will be added to the Company's production base, following negotiation of gas sales agreements and construction of production facilities.
"We reached a very important milestone last fall when the Wilga and Zaniemysl wells started producing," said David Pierce, president, "because production is the ultimate proof of successful exploration. Beyond the mere fact of production is the high rate of production, which underscores why we are focused on conventional fields in Poland. The Zaniemysl well is currently producing 10 Mmcf per day. This is particularly gratifying because it serves as the model for our focused 3-D seismic and drilling program in our core Fences concession. The size of these reservoirs and their demonstrated high production rates has encouraged us to expand our exploration and development efforts at Fences and elsewhere in western Poland."
Comparing the first two sequential quarters of 2007, gas production in Poland during the second quarter of 2007 increased slightly from the first quarter of 2007, 451 Mmcf vs. 449 Mmcf. Oil production in Poland was down to 5,867 barrels from 7,487 barrels, due in part to the Wilga well being offline for two weeks of testing in June.
Second quarter production statistics: 2007 2006 Gas Oil Gas Oil (Mcf) (Barrels) Mcfe* (Mcf) (Barrels) Mcfe* Poland 451,065 5,867 486,267 35,140 - 35,140 United States - 17,860 107,160 - 19,421 116,526 Total 451,065 23,727 593,427 35,140 19,421 151,666 First half production statistics: 2007 2006 Gas Oil Gas Oil (Mcf) (Bbls) Mcfe* (Mcf) (Bbls) Mcfe* Poland 900,076 13,354 980,200 70,990 - 70,990 United States - 35,534 213,204 - 37,914 227,484 Total 900,076 48,888 1,193,404 70,990 37,914 298,474 Note: Oil converted to gas a 6 to 1.
- FX Energy is Reading Szymanowice-1 Well for Production (Dec 31)
- FX Energy Tests Poland Tuchola-3K Well (Apr 29)
- FX Energy 'Disappointed' over Polish Mieczewo Well (Apr 08)