Sugarloaf Update, Block B

RNS Number : 2125B

Empyrean Energy PLC

13 August 2008

 

13 August 2008

Empyrean Energy PLC 

('Empyrean' or the 'Company'; Ticker: (EME))

Sugarloaf Prospect, ('Sugarloaf'), Block B, Texas USA

• Kowalik #1H Well vertical pilot hole completed and about to log and then drill horizontal

• Kennedy #1H well to have production facility installed to place on long term production

Empyrean Energy Plc, the oil and gas explorer and producer with assets in Germany and the USA provides the following update on operations on Block B which is part of the Sugarkane Gas and Condensate Field:

Kowalik #1H Well 

Empyrean  has been advised by the operator of the Sugarloaf area of mutual interest, Texas Crude Energy Inc ('TCEI'), that as of 06:00hrs 12/08/08 (US CST) the Kowalik #1H well had reached the vertical pilot hole target depth of 11,970 feet and the operator was running wireline logs. Elevated gas readings increased from a background of 120 units to approximately 400 units when drilling through the Austin Chalk interval.  

Once logged, the vertical pilot hole is planned to be plugged back and then directionally sidetracked to the top of the chalk before casing is run prior to drilling the horizontal section. The well is planned to have a horizontal section targeting the same interval that has produced in the TCEI JV Block A-1 and A-3 wells.

Kennedy #1H Well

Empyrean has been advised by TCEI that the well is currently shut-in while the Operator prepares to install a production facility and tie-in the well to a nearby gas transmission line. 

At the time of shut-in the well was producing at approximately 180,000 cubic feet of gas per day, 33 barrels of condensate per day and minor amounts of water (frac fluid).

A decision as to whether to perforate and fracture stimulate the additional 3000 feet of lateral section will be made following further analysis of the performance of the well during production.

Further updates will be provided following developments.

The information contained in this announcement was completed and reviewed by the Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has over 40 years experience as a petroleum geologist.

For further information 

Empyrean Energy plc 

Tel: [phone] 

Rod Venables / James Reeve

HB Corporate 

Tel: [phone] 

Jonathan Charles / Ed Portman 

Conduit PR 

Tel: [phone] 

 

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