Monday, Oct 28, 2013
The directors and management of Strata-X Energy Ltd. ("Strata-X" or the "Company") are pleased to provide an update on the 2013 exploration and appraisal programs for the Company's three key USA projects where Strata-X is the operator and majority interest owner.
Maverick Oil Project, Eagle Ford, South Texas - 10,945 net acres
In June 2013, the Company secured the services of a specialized analysis company, Total Depth Pty Ltd, to conduct proprietary seismic processing and interpretation analysis of the current 3-D seismic data on the Maverick Oil Project. This analysis was designed to assist the Company in geological mapping for the proposed vertical well drilling campaign. To date, Total Depth Pty Ltd has supplied the Company with multiple prospective drilling locations based on its seismic interpretation.
One of the locations supplied by Total Depth Pty Ltd is known as the Cinco Saus Creek #1. This location is currently being permitted and the Company anticipates receiving all required regulatory approvals by late November. With this timing in mind, Strata-X has contracted Unison Drilling, Inc. of Devine, TX to utilize their rig #11 to drill Cinco Saus Creek #1 and expects the rig to be mobilized to the location by the first week of December 2013.
The Cinco Saus Creek #1 is designed and is being permitted as a vertical test of the targeted Eagle Ford formation in the Maverick Basin. In the Company's assessment, the nature of the hydrocarbons and reservoirs within the Eagle Ford shale formation in and around the Maverick Basin requires a different approach to drilling and completion methods than those currently being utilized in deeper portions of the Eagle Ford trend.
As such, Strata-X anticipates coring approximately 600 feet of the targeted Eagle Ford shale and Buda formations. The information gained from the analysis of the core and well logging is expected to assist the Company in designing the most efficient completion method for the well.
Vail Oil Project, Illinois Basin - 100% of 49,200 net acres
In July 2013, Strata-X spudded the Burkett 5-34HOR well, the first Company test well of the Vail Oil Project. It was designed to be drilled in two stages. First, the Company drilled a vertical hole to the top of the target formation and then cored approximately 60 feet of the formation. The vertical portion of the well reached a total depth of 4,730 feet. Oil and gas shows were encountered in the targeted Devonian Lingle formation and a drill stem test of the target recovered gas and oil cut mud. Then the well was drilled to a total depth of 6,762 feet with approximately 1,824 feet of lateral drilled. A 7-stage sliding sleeve completion system on 4 1/2 inch liner was installed over the lateral portion of the well. While drilling the lateral portion of the well, oil and gas shows were encountered and live oil was visible in the drilling mud. Strata-X released the drilling rig at the beginning of September 2013.