American Petro-Hunter Details Well Completion Plan for #1 Lutters

American Petro-Hunter, Inc.

American Petro-Hunter announced the details of the engineering well completion plan to be implemented prior to the initiation of commercial production at the #1 Lutters Oil Well at the Poston Prospect located in Trego County, Kansas.

American Petro-Hunter has been informed by the operator of the project, S & W Oil & Gas, LLC of Wichita, that oil and gas produced from drill stem tests occur over an interval of 26 feet of prospective oil and gas pay zones. The plan is to perforate the set casing at 3 intervals which exhibit reservoir porosity, commencing with the lowest and moving up the well. Each 5-foot zone will be discretely evaluated and collectively will comprise the productive interval.

The operator will then set rods and tubing leading to the subsequent installation of a pump jack. Simultaneously, site facility construction has begun in preparation for installation of an oil tank battery. As announced, the completion rig is scheduled to arrive at the site on approximately June 10th. American Petro-Hunter and partners continue to plan for the onset of commercial oil production by mid-June.
Additionally, an oil purchase contract has been executed with N.C.R.A. (National Co-op Refinery Assoc.) of McPherson Kansas to purchase all production at the Lutters lease.

About the Prospect

The #1 Lutters well targeted oil in the Mississippi Dolomite and/or Cherokee sands. The location showed a significant 3D Seismic anomaly pinpointing an oil bearing zone. In addition, the 750-acre lease block has the potential for a multi-well program with 2 to 3 offset locations possible to fully exploit the acreage. Engineering estimates of the potential production from the indicated pay zone is between 35 and 100 barrels per day from a successful well. Full development of the field could produce up to 400 BOPD of light oil. There is excellent transportation and support infrastructure in the area easily supporting a requisite storage tank battery at the location.