Royal Quantum Group has leased an additional 462 acres of land in the state of Oklahoma, in the vicinity of its producing Bond #1 and Bond #2 wells. The company has a 25% interest in this acreage. In addition, the company has completed the drilling of its fourth well, the Sattler #1 on the newly acquired acreage.
The well has been logged and completion plans are now underway. Royal Quantum will have a 25% interest in the Sattler #1, and retain 40% of the net revenue generated from the well.
The company has provided an update on its three producing wells. The Bond #1 is continuing to flow at an average of 70Bbls per day. The Bond #2 is producing at an average rate of 30Bbls per day and the Gleason well is continuing its production at a rate of 5Bbls per day.
All of the wells have associated gas sales. The company has a 36% interest in the Gleason well, and a 25% interest in each of the Bond #1 and Bond #2 wells. Per the terms of the funding agreements, the company retains 40% of the net revenue from the wells.