Crimson has secured a rig contract for one year term that will allow continued development of its acreage position in the Haynesville/Mid-Bossier shale plays in San Augustine and Sabine counties in East Texas. The delivery of the 1,500 hp rig is currently scheduled for March 1, 2010. The company anticipates drilling four to five wells in this area with this rig.
A rig contract was also secured for a continuous two well commitment in Liberty county in Southeast Texas, with anticipated delivery by late January 2010. The two wells planned for this rig will likely be drilled during the first half of 2010 and will target the Cook Mountain and Yegua formations.
Allan Keel, president and CEO of Crimson, said: “By securing rig contracts for a substantial portion of our planned 2010 East Texas and Liberty County projects, Crimson is now positioned to commence and execute its announced 2010 drilling program; one that is designed to enhance shareholder value by increasing reserves, production and cash flow from our conventional assets, as well as continue to further validate our significant resource play potential.”
