The company said that the prospect has potential for high gravity light oil above 3800ft and if successful, wells could produce in the 150BPD range as anticipated Initial Production Rates. The play has the potential for a multi-well program on 40-acre spacing should the test well prove to be a success.
Operations on-site have commenced with road construction and site preparations currently underway, and the company has been advised that a spud date is predicted within several days subject to the impending arrival of the drilling rig.
Oil continues to trend higher pushed by strong oil demand from China offsetting concerns over high supply levels in the US and globally. The continued slide of the dollar has helped boost prices, which become cheaper for holders of other currencies, the company claimed.
