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Allied Energy Provides Update on Ragsdale #1 Oil and Gas Well (Cherokee County, TX)
Allied Energy Provides Update on Ragsdale #1 Oil and Gas Well (Cherokee County, TX).
About this update from Allied Energy, Inc.
[{"type":"text","content":" 0 false 18 pt 18 pt 0 0 false false false Allied Energy Provides Update on Ragsdale #1 Oil and GasWell (Cherokee County, TX)BOWLING GREEN, KY--(Marketwire – August 22, 2012 – Allied Energy, Inc. (the “Company”) (OTCMarkets: AGGI) announces today, the following completion and production update for the Ragsdale #1 Well located in Cherokee County, Texas. The Company commenced drilling operations of the Ragsdale #1 well on March 30, 2012. The well was directionally drilled to a total measured depth (TMD) of 10,674 feet and atotal vertical depth (TVD) of 9,976 on April 26, 2012. The well was tested and determined to be commercially productive in the Pettit formation, located within a 21 ft. net pay zone. The well was completed and put on line on August 16, 2012.As of August 21, 2012, 2,878 mcf of gas and 140 barrels of oil have been sold, and an additional 80 barrels of oil remains in the holding tank. The average daily production for the most recent 5-day period is 454.6 mcfd of gas, 15.4 barrels of oil and 18.5 barrels of water. The well is free flowing into the gas transmission sales line, which has a static pressure of 300-370 psi.Within the next 45 days, it is anticipated that a compressor will be installed, which will allow the well to produce with less back pressure, which is expected to result in higher levels of production at that time.Allied’s president, Scott Harris said, “We are very pleased with the results we are seeing, and are now making plans to drill a direct offset to the Ragsdale #1 well on the same lease during the 4th quarter of this year.”The Company owns a 0.22636% working interest, and, an approximately 2.75% net revenue interest in the Ragsdale #1 well.___________________________________________________________About Allied Energy Inc.Allied Energy, Inc. is an independent oil and gas development company primarily engaged in the business of providing turnkey drilling and operations management services to oil and gas general partnerships that the Company organizes and sponsors. The partnerships are formed to develop oil and natural gas reserves in the continental United States. The Company may at times participate in the same prospects for its own account outside of the partnerships. In undertaking its oil and natural gas activities,...