Nostra Terra Oil and Gas has successfully reached planned total depth with Pine Mills – Fouke 2 Well.
Nostra Terra Oil and Gas is an exploration and production company which has projects in the Permian Basin, Texas, and East Texas. Nostra Terra is an AIM listed company.
The Company has reported that the Pine Mills – Fouke 2 Well has safely reached 6002 feet of the intended total depth post the drilling announcement on February 17th. The well has drilled just below the Cretaceous Woodbine Formation.
Logs show 23 feet of pay sand in two Cretaceous Woodbine reservoir sections. The highest interval being in the same reservoir part as the offset Fouke 1 well. The Fouke 2 sits higher up on the structure and the reservoir has an internal which is both of better quality and thicker (17 feet) than Fouke 1. The Fouke 2 discovered an extra pay section of 6 feet thickness, in the Woodbine Dexter interval. The section was found to be bearing in the Fouke 1.
The completion process has started and the well will be covered and cemented through both pay gaps. The pay sections will then be drilled, the completion equipment will be positioned in the hole, and the surface production equipment will be placed. The well will then instantly start generating into the Fouke 1 location’s surface facilities, which have been enlarged to accommodate the Fouke 2 volumes.
In the Fouke 2 well, Nostra Terra has a 32.5 percent working interest. The impact of the well on the oil in place is being assessed and the markets will be notified on the update post evaluation.
“We’re very excited about the results of the Fouke 2 well. The Fouke 1 well reached payout (where the full cost of the well was recovered) in under a year. Logging results from this well are better than the Fouke 1 and also exceeded our pre-drill estimates. Given the higher commodity prices in today’s market and the expected production rates from the Fouke 2, we anticipate an even more rapid payout for this well. We look forward to completing and producing the well in short order,” commented Matt Lofgran, Chief Executive Officer, Nostra Terra.
Nostra Terra shares are trading up 5% at 0.48p on Monday morning despite severe volatility elsewhere in London listed energy companies.
