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Expansion of Chisholm Trail Prospect
Expansion of Chisholm Trail Prospect.
About this update from Buccaneer Energy Plc
[{"type":"text","content":"\n \nRNS Number : 7411D Nostra Terra Oil & Gas Company PLC 01 May 2013 \n \n\n \nAIM: NTOG\n1 May 2013\n \nNostra Terra Oil and Gas Company plc\n(\"Nostra Terra\" or the \"Company\")\n \nExpansion of Chisholm Trail Prospect\nIssue of Equity\n \nChisholm Trail Update\n \nNostra Terra, the AIM quoted oil and gas producer with projects in the USA, is pleased to announce that following the acquisition of additional acreage, the Company is now exposed to 21 potential drilling locations at the Chisholm Trail Prospect (the \"Prospect\").\n \nAs originally announced on 29 August 2012, Nostra Terra acquired a 20 percent interest in the Prospect. During drilling, an on-going leasing program has also been underway to expand the Prospect holdings. The Oklahoma Corporation Commission spacing rules allow an operator to 'control' one-half of a section (a 320 acre spacing unit), within which a well is drilled. The latest update from the Company's partner in the Prospect, Ward Petroleum Corporation (\"Ward\"), has confirmed within the current acreage footprint of the Prospect, the partners own varying interests in 21 half sections, five of which have been drilled and in which NTOG has participated. Sixteen more half-sections remain to be drilled targeting the same geological formation as Gastar Exploration Ltd. (NYSE: GST) (\"Gastar\"). The Board believes this is a low-risk, high-return play and will prepare reserve estimates later in the year.\n \nGastar announced on 1 April 2013, a US$85 million acquisition and legal settlement and the economic impact of drilling activity in the \"core area\" of their horizontal Hunton Limestone Play. A portion of this play is located in Kingfisher County, Oklahoma, close to the Company's Chisholm Trail Prospect area. They estimate that they are exposed to approximately 100 million BOE (net resource-potential) based on the reserve estimates of 65 net drilling locations. The Gastar acquisition closes on 7 June 2013 and the Board expects drilling activity by operators in the area to accelerate shortly thereafter. \n \nThe Company's fifth well on the Prospect (CT5), in which it has a 2.2% working interest, has reached total depth and is being prepared for completion. Further announcements will be made in due course. The acquisition of...