Business
Signing of Agreement in Oklahoma
Signing of Agreement in Oklahoma.
About this update from Buccaneer Energy Plc
[{"type":"text","content":"\n \nRNS Number : 1429J Nostra Terra Oil & Gas Company PLC 27 June 2011 \n \n\nNostra Terra Oil and Gas Company plc\n(\"Nostra Terra\" or the \"Company\")\n \n \nOklahoma deal is signed, project already underway\n \n \n \nNostra Terra, the AIM oil and gas producer with projects in the USA, as part of their continuing plan to take larger working interests (WI) in prolific US oil fields, is pleased to announce that it has entered into an agreement with Pathfinder Development Capital LLC (\"Pathfinder\") to acquire a 30% WI in the Bale Creek prospect, located in northern Oklahoma. \n \nHighlights of the Bale Creek prospect include:\n \n· Shallow oil, with associated liquids-rich natural gas;\n \n· Extensive regional structural mapping; \n \n· Multi-pay potential from as many as 8 reservoirs, from the Ordovician up through Permian-aged rocks; and.\n \n· 2-D and 3D Seismic to pinpoint locations and steer the horizontal well paths;\n \n \nThe Area of Mutual Interest (AMI) covers a contiguous area of over 3,500 acres. It is located in a very prolific oil system, proven to produce from multiple, stacked-pay reservoirs. \n \nThe project development plan consists of two phases. The first step in Phase I calls for the acquisition and interpretation of proprietary 2D and 3D seismic. Based on the tightly-controlled interpretation, a pilot hole will be drilled and logged to determine the most promising of all the potential productive zones. The next step will be to drill 3 horizontal wells into that zone, along with all production and transmission facilities to support the project. Leasing for drilling and seismic permitting in Phase I are already underway. The total estimated cost of pre-drilling activities is US$672,700, of which Nostra Terra's estimated portion is US$201,810. \n \nThe drilling budget is being finalized with drilling of the first well being planned for beginning of Q4 2011.\n \nPhase II will include up to four additional horizontal wells plus the additional production facilities. This phase will entail further leasing and seismic permitting within the existing AMI, prior to drilling. The final determination to move i...