DENVER & PERTH, Australia--()--Samson Oil & Gas Limited (ASX: SSN; NYSE AMEX: SSN) provides operational advice.
HAWK SPRINGS PROJECT, GOSHEN COUNTY, WYOMING
Spirit of America US34 #2-29, (SSN 100% WI)
The fishing operations on the well have been completed and the well is set up for hydraulic fracture stimulation operations. The stimulation plan is to place 57,500 pounds of proppant in the two remaining frac stages within the Permian section of the well.
Defender US33 #2-29H, (SSN 37.5% working interest)
The well was put back on rod pump on August 23rd after extensive periods of testing and evaluation. Over the last week, the well has produced on average 75 BOPD with the pump jack speed set on a very low setting (4.25 strokes per minute) to help minimize disruptions from gas production. Over the next few months the evaluation will continue and a decision will be made if it is appropriate to increase the pump speed.
The Defender well is the first well in Samson’s Hawk Springs project to benefit from the latest technology providing a better understanding of the reservoir as a result of extensive testing and evaluation.
Samson’s Ordinary Shares are traded on the Australian Securities Exchange under the symbol "SSN". Samson's American Depository Shares (ADSs) are traded on the New York Stock Exchange MKT under the symbol "SSN". Each ADS represents 20 fully paid Ordinary Shares of Samson. Samson has a total of 1,996 million ordinary shares issued and outstanding (including 231 million options exercisable at AUD 1.5 cents), which would be the equivalent of 88.25 million ADSs. Accordingly, based on the NYSE MKT closing price of US$1.05 per ADS on August 30th, 2012 the Company has a current market capitalization of approximately US$101 million. Correspondingly, based on the ASX closing price of A$0.049 on August 30th, 2012, the Company has a current market capitalization of A$95 million. The options have been valued at their closing price of A$0.032 on August 30th, 2012 and translated to US$ at the current exchange of 1.0337 for purposes of inclusion in the US$ market capitalization calculation.
For and on behalf of the board of
SAMSON OIL & GAS LIMITED
Statements made in this release that are not historical facts may be forward looking statements, including but not limited to statements using words like “may”, “believe”, “expect”, “anticipate”, “should” or “will.”
Actual results may differ materially from those projected in any forward-looking statement. There are a number of important factors that could cause actual results to differ materially from those anticipated or estimated by any forward looking information, including uncertainties inherent in estimating the methods, timing and results of exploration activities.
A description of the risks and uncertainties that are generally attendant to Samson and its industry, as well as other factors that could affect Samson’s financial results, are included in the Company's report to the U.S. Securities and Exchange Commission on Form 10-K, which is available at www.sec.gov/edgar/searchedgar/webusers.htm.