Business
Pine Mills - Significant Increase in Reserves
Pine Mills - Significant Increase in Reserves.
About this update from Buccaneer Energy Plc
[{"type":"text","content":"\n \nRNS Number : 7189Y Nostra Terra Oil & Gas Company PLC 07 December 2017 \n\n7 December 2017\n \nNostra Terra Oil and Gas Company plc\n(\"Nostra Terra\" or the \"Company\")\n \nPine Mills - Significant Increase in Reserves\n \nNostra Terra (AIM:NTOG), the oil and gas exploration and production company with a portfolio of assets in the USA and Egypt, is pleased to announce a significant increase in proved reserves at the Pine Mills oil field, in Wood County, Texas (\"Pine Mills\"), where Nostra Terra now owns 100% working interest. In addition, the Company has assessed significant additional \"Possible\" reserves, which could be impacted by new drilling activity in the area.\n \nHighlights:\n \n· 38% increase in net Proved reserves from approximately 326,000 barrels of oil (April 2017 as adjusted for increase in net working interest) to 450,280 barrels of oil (1P \"Proved Developed Producing\" and \"Proved Developed Non-Producing\")\n· Future potential upside in the Woodbine-Wagoner; \no 1.39 million barrels gross recoverable \"Possible\" reserves, internal assessment based on an existing independent study\n· New drilling activity planned on neighbouring lease \n \n \nRecent Activity and Additional Reserves\nIn recent months, while oil prices have both stabilised and improved, Nostra Terra has been approached by various operators regarding potential farm-in opportunities on the deeper rights at Pine Mills. Pine Mills is made up of several leases over approximately 2,400 acres; all leases are Held By Production (HBP), meaning they have no expiration date and no required work programme, and remain in effect so long as the leases remain in production. This allows Nostra Terra the flexibility to farm-out should it so decide, or to drill further wells at its own discretion.\n \nAs a result, Nostra Terra has re-assessed an independent study of the lease area at Pine Mills undertaken by Cobb & Associates, Inc. in 2014, which focused on undeveloped upside potential. A total of 5 potential development projects were identified in the Woodbine and Sub-Clarksville Formations, including neglected oil \"behind pipe\" and up-dip \"attic oil\" which could be accessed mainly through well workovers. The largest upsid...