Business
Storm Cat Energy Corporation Updates Operations
Storm Cat Energy Corporation Updates Operations.
About this update from Sama Resources Inc.
[{"type":"text","content":"\n\n\n\nDENVER & CALGARY, ALBERTA, February 6 /CNW/ - Storm Cat Energy\nCorporation (AMEX: SCU; TSX: SME) today updated operations.\n\n\nPowder River Basin\n\n\nAt December 31 2006, Storm Cat had operational control of approximately\n41,730 gross acres and 31,905 net acres in the Powder River Basin (PRB). The\nCompany now operates 277 wells in the PRB and owns a working interest\npercentage in 41 additional non-operated wells. For the full year 2006, 86\nwells were spud, in line with previous guidance issued for the Company's 2006\nPRB drilling program. Wells drilled during 2006 were concentrated in Storm\nCat's Northeast Spotted Horse and Jamison/Twenty Mile operating areas.\nCurrently four rigs are operating in the Recluse and Sheridan areas as part of\nStorm Cat's aggressive 2007 PRB drilling program.\n\n\nAt year-end 2006, PRB exit-rate production was 15 million cubic feet of\nnatural gas per day (MMcf/d) gross and 8 MMcf/d net. PRB gas production\ncurrently comprises 100% of the Company's production.\n\n\nFayetteville Shale, Arkansas\n\n\nIn the Arkoma Basin's Fayetteville Shale play, Storm Cat owns or controls\n20,051 gross and 13,982 net acres at December 31, 2006. The Company plans to\ncommence drilling on the first of six net wells in the Fayetteville Shale\nbeginning mid-year. Well locations have been identified and permitting and\nregulatory work is in the process of being completed. Pipeline planning is in\nprocess with rights of way and access points identified. The Company is\ncurrently negotiating and securing drilling and vendor services.\n\n\nStorm Cat currently is also participating in 14 Fayetteville Shale wells\nwhere it owns between a 1% to 8% working interest. These wells are at varying\nstages of drilling, completion or production. Southwestern Energy, the\nrecognized technical leader in the Fayetteville Shale, will operate the\nproperties. The Company will apply the knowledge gained by participating in\nthese wells to its operated acreage and drilling program in Fayetteville\nShale.\n\n\nElk Valley, British Columbia\n\n\nStorm Cat recently completed the five wells that were drilled in the\nthird quarter of 2006. Twenty-four frac's were successfully performed in\nmultiple zones in each well. The Company used a variety of fracing\ntechnologies to determine which methods are best suited for the completio...