Jed Oil has completed one well and tie-ins of two additional wells that were drilled in 2006 by Caribou Resources. In addition, the company said that the two Sulphur Point oil and gas wells and a Keg River oil well are now online and producing a total of around 600 barrels of oil equivalent per day.
The company owns 100% working interest in the wells, and the additional production has increased Jed’s sustainable production to approximately 1,765 barrels of oil equivalent (boe) per day.
The company’s winter drilling program consists of 15 locations in Steen River, 10 targeting Keg River oil and five targeting Slave Point natural gas. The first Keg River oil well has been drilled and Jed has two rigs currently drilling the next two Keg River oil wells. It is expected that the first four wells of the program, all targeting Keg River oil, will be completed, tied-in and on production by December 24, 2007.
In addition to these four new oil wells, Jed also has one Sulphur Point gas well that was previously drilled, which it anticipates will also be completed, tied-in and on production by December 24, 2007.
James Rundell, president of Jed Oil, said: We are very pleased with the initial results of our Steen River program and we are on track for meeting our guidance for our December 31, 2007 exit rate. We will continue to utilize at least two drilling rigs until the program is totally completed by March 31, 2008.