Business
Investment Update
Investment Update.
About this update from Xtract Resources Plc
[{"type":"text","content":"\n \nRNS Number : 9514I Xtract Energy plc 23 June 2011 \n \n\n23 June 2011\n \nAIM: XTR\n \nXTRACT ENERGY PLC\n(\"Xtract\" or the \"Company\")\n \nInvestment Update\n \nXtract Energy Plc (\"Xtract\") notes below the Shareholder Update which was issued by Elko Energy Inc. (\"Elko\") to its shareholders on Wednesday 22nd June 2011:\n \nElko Energy Inc. ('Elko') is pleased to provide this further business development update. \n \nBusiness Update\n \nDenmark\n \nElko announced on May 4, 2011, that the Luna well will be drilled by the 'Maersk Resolve' jack up drilling unit. The rig had been secured by Noreco, the license operator, under a letter of intent. At that date the rig was expected to be available for Luna in mid August 2011 but this date could be a few weeks earlier or later. Elko has been advised today by Noreco that the rig contract has now been signed for the Maersk Resolve and that the rig is now anticipated to arrive on the Luna location in the second half of September 2011.\n \nThe Maersk Resolve is currently drilling on contract to Maersk Oil and Gas in Denmark. As such the Maersk Resolve is coming to the 01/11 partnership drill ready, a short mobilization distance from the Luna prospect location and already fully accredited by the Danish authorities for drilling operations in Denmark. The Luna drilling program is expected to take about 1 month duration. \n \nAs previously announced the 01/11 partners intend the 'Luna' well to test the overall Rotliegendes play concept. The Luna prospect is located in a small half graben with the pinch out edge to the south east of the structure. The Rotliegendes reservoir is thought to have a high probability of being present at this location based on the seismic interpretation. Uncertainty still exists however on which seismic event represents the top reservoir and where the pinch out occurs. \n \nIn addition to the uncertainty on the pinch out position, there is a possibility that the Rotliegendes does not, in fact, pinch out but continues up d...