Tri-Valley Boosts Nevada Oil & Gas Exploration
|Thursday, October 09, 2003
Tri-Valley has increased its Railroad Valley, Nevada land position by another 5,000 acres to total more than 21,700 acres for its three exploratory oil prospects, it was announced today by F. Lynn Blystone, president and chief executive officer.
Nevada is very lightly explored for oil and gas with less than 1,000 wells drilled in the whole state. However, two wells in Grant Canyon of Railroad Valley were for years America's highest producers in the range of 2,000 barrels per day each. One of the structures Tri-Valley has identified is a look-alike structure (only larger) on trend with the Grant Canyon Oilfield, which made in excess of 20 million barrels of oil.
Nevada prospects have proved very frustrating to the industry as the volcanics can distort and hide geologic and seismic information. This adds considerably to the risks. "Our three Railroad Valley prospects are true wildcats but the potential upside is so large that it justifies the dry hole risk to be included in our inventory of 26 exploration prospects," Blystone said.
In order of acreage and estimated potential size the three prospects are Oil Spring, 12,000 acres and 300 MMBO; Mohawk Canyon, 6,400 acres and 100 MMBO and Midland Trail 3,300 acres and 50 MMBO.
Tri-Valley expects to have one or more of the three ready to drill pending funding by the end of the year.