Gas shows encountered while drilling High Potential Targets Multiple zones of significant gas shows Best potential sand reservoir zone from had over 500 times background gas despite rising mud weight. Drilling ahead at 2,070 m (~6,800 feet) to evaluate multiple remaining conventional sandstone reservoir targets in next 1000 m (3,200 feet) of drilling Dempsey is testing the largest undrilled structure in northeastern Sacramento Basin Sacramento Basin-focused natural gas developer and producer, Sacgasco Limited (ASX: SGC) (“Sacgasco” or “the Company”) advises that the Dempsey 1-15 well in the Sacramento Basin in California is drilling ahead in 8 1/2” vertical hole. During drilling well-mud weights have been increased regularly to 13.5 ppg to control increasing levels of background gas. Multiple zones of significantly higher than background gas shows have been encountered while drilling. The best zone of gas shows had a gas level of over 500 times the background gas. Shareholders and investors are advised that the significance of these shows will become more apparent when the next wireline logs are run to more fully evaluate the intersected gas shows and reservoirs. This is planned after reaching the proposed total drilling depth of approximately 3,200 metres. The Dempsey 1-15 well is currently drilling ahead at 2,070 m (~6800 feet) to the highly under-explored deeper targeted reservoirs in the remaining 1,000 m (~3,200 feet) of section to be drilled. Dempsey is drilling the largest undrilled mapped structural closure in the northeastern part of the prolific Sacramento Gas Basin and is interpreted to be optimally located to trap gas migrating out of gas generating areas located to the west and south.
XST Price at posting:
1.2¢ Sentiment: Hold Disclosure: Held
