Caza Oil & Gas has provided an operational update on the OB Ranch #1 exploratory well on the Bongo Prospect in Wharton County, Texas.

The company began the completion procedure on the OB Ranch #1 well on 13 November 2010.

The well was perforated in the Cook Mountain formation between 12,494ft and 12,826ft across selective intervals and fracture stimulated on 15 November 2010.

Fracture fluid is still being recovered, but initial production rates on a 10/64ths choke at 6,788 pounds per square inch flowing tubing pressure are 2.65 million cubic feet of natural gas per day and 311 barrels of oil per day.

Caza currently has a 43.28% working interest and an approximate 32.03% net revenue interest in the well.

Caza CEO Michael Ford said that the company is pleased with the initial production results on the OB Ranch #1 well and plans to develop the Bongo Prospect in due course beginning in 2011.