eagle project, page-7

For those who don't remember the "Eagle", - never quite landed though...(From FAR old Quarterly June 2001)

UNITED STATES OF AMERICA

Eagle Prospect, San Joaquin Basin, California
Eagle No 1 well (Mary Bellocchi Re-entry)

Victoria Petroleum NL, as Operator for the Eagle Project Joint Venture, has advised the joint venture that the Eagle-1 well is currently at a measured depth of 13,730 feet (4,188 metres), and drilling ahead. Gatchell Sandstone sample fluorescence interpreted to be indicative of an oil bearing sand was observed to commence at 13,704 feet (4,178 metres) and is interpreted to be equivalent to the first Gatchell Sandstone oil zone drilled in the adjacent vertical Mary Bellocchi#1 well bore. At last report the well was drilling ahead at 6 feet per hour and still with oil shows.

Although the first Gatchell Sandstone is not the primary target for the horizontal well, its presence and the successful predicted correlation with the adjacent original Mary Bellocchi#1 well bore, provide encouragement for the presence of the Second Gatchell Sandstone as a valid potentially oil bearing target for the horizontal well bore planned to be drilled in this zone.

A horizontal well-bore of up to 1,000 feet is planned between 13,915 feet (4,241 metres) and total depth of 14,898 feet (4,541 metres). Reservoir targets are the Gatchell Formation sandstones that tested both oil and gas in the original 1986 discovery well.

High gas prices enhance the commercial value for any gas produced in the Eagle Oil Pool Development Project.

FAR was a participant in the 1986 Mary Bellocchi test that produced both oil and gas from the Gatchell Sands. Engineering studies support a case for horizontal drilling with the prospect of increasing potential flow rates to the range of 500-1000 barrels of oil and 1.5 to 3 million cubic feet of gas.

Subject to successful completion and testing, the Eagle No. 1 will be the first well in the Eagle Oil Pool Development Project, a horizontal drilling project targeting potential recoverable reserves of up to 24 million barrels of oil and 62 billion cubic feet of gas.

FAR has a 15 percent working interest in the Eagle project and 4,360 (approx) acres under lease. Other participants include the Operator, Victoria Petroleum NL, Lakes Oil NL, Sun Resources NL and North American interests.