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Zodiac Exploration Inc. Announces Anticipated Commencement of Drilling Operations on its Mortgage block in the San Joaquin Basin, California
Zodiac Exploration Inc. Announces Anticipated Commencement of Drilling Operations on its Mortg...
About this update from Sintana Energy Inc.
[{"type":"text","content":"\nZodiac Exploration Inc. Announces Anticipated Commencement of Drilling Operations on its Mortgage block in the San Joaquin Basin, California\n\nZodiac Exploration Inc. Announces Anticipated Commencement of Drilling Operations on its Mortgage block in the San Joaquin Basin, California\nCalgary, Alberta CANADA, January 31, 2013 /FSC/ - Zodiac Exploration Inc. (ZEX - TSX Venture), (\"Zodiac\" or the \"Company\") is pleased to announce that it has been advised by its farmout partner Aera Energy LLC (\"Aera\") the commencement of rig mobilization and drilling operations on the Mortgage Block, Kings County California.  Aera is the operator of all wells under the farmout lands.\nIt is anticipated that the spudding of the first well (Aera - Mortgage 881D-15), in the northern portion of the block, will commence on or about February 4, 2013. \nUnder terms of the farmout agreement between Zodiac and Aera (the \"Farmout Agreement\"), Aera has acquired the right to earn up to 50% of Zodiac's interest in approximately 19,600 acres of the Mortgage block, located in Kings County, California by the drilling of two vertical and two horizontal earning wells on or adjacent to the farmout lands in two earning phases.  Each phase comprises one vertical and one horizontal well and upon fulfillment of the drilling commitment under each phase, Aera will earn a 50% interest in approximately 9,800 acres of each phase respectively.\nThe first well in phase one has been designed to reach an estimated final vertical depth of approximately 4,572 meters (15,000 feet) in order to penetrate and evaluate the thick, regional Monterey and Kreyenhagen formations, both of which, from previous wells drilled in the vicinity, have demonstrated the potential to contain very large accumulations of oil in these established source rocks.  Drilling and evaluation of the vertical well is estimated to take approximately 80 days.  Following evaluation of the well data, a horizontal well is planned to be drilled, either as a sidetrack out of the existing vertical wellbore or as a standalone well through the respective zone of interest.  The drilling of a side track horizontal well is expected to take up to an additional 45 days.\nUnder the terms of the Farmout Agreement, Aera will cover 100% of all costs, including all costs th...