ann: norwest’s us gas program on right track
Thanks Mangrove for the following announcement on MPEX
Norwest’s US gas program on right track
Another positive result in Norwest’s Tennessee acreage has emerged, with Carden-3A proving itself able to hold a sustainable and economical gas flow after achieving rates of 0.14MMcfd following fraccing procedures.
The result augers well for the likelihood of commercialising the remaining posse of Carden wells, with all four containing thicker Devonian shale sections than Carden-3A’s 131m. Carden-1A had a 155m thick section, Carden-2A was 153m thick, Koppers 6A was 267m with Koppers-7A at 149m. All five wells have been suspended for fraccing, with data from Carden-3A’s shut in period to be used to determine the optimal completion program for the remaining wells.
The five well shallow gas program, operated by Miller Petroleum, where Norwest stands to earn a 29% net revenue interest, started midlate Apr and finished mid Jun. Each well drilled to around 975m and costed US$235,000 including a basic fraccing program and completion. Norwest has the option to participate in additional wells in blocks, first another five, then a batch of 10, then 20, to a possible total of over 100. The project is located in two leased areas – the Carden and Koppers North leases – within a 10,400 acre area in Campbell County within the hydrocarbon prospective Appalachian basin.
Norwest is preparing for the drilling of 60- 100mil bbl Magnolia-1 in AC-P-32 by the Ocean Bounty late Sep, where Norwest holds a 19.6% stake. The well is part of a 2+2 program for Coogee Resources, which is operating Magnolia on behalf of permit operator Norwest. Norwest was trading down $0.01 at $0.175 on volumes over 2.3mil in the hours after the announcement.
NWE Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held