DENVER & PERTH, Australia--(BUSINESS WIRE)--Samson Oil & Gas Limited (ASX: SSN; NYSE MKT: SSN):
NORTH STOCKYARD PROJECT, WILLIAMS COUNTY, NORTH DAKOTA
As previously advised the sale of the Rennerfelt #1-13H and Rennerfelt #2-13H wells has been completed providing capital to participate in the more profitable Matilda Bay wells.
The infill development plan for North Stockyard is to drill 10 middle Bakken wells and 8 Three Forks wells. For ease of reference, the current status of each well is set out below with separate tables for each drill pad:
|TOFTE 1 PAD||Lateral length||Objective||Status||IP rate BOPD||Current rate BOPD||Cum to Date BO|
|Billabong 2-13-14HBK||6,147 ft.||Bakken||Recovery of drill pipe planned for April 2014||NA||NA||NA|
|Sail and Anchor 4-13-14HBK||6,375 ft.||Bakken||Flowing||1,323||336||27,136|
|Blackdog 3-13-14||8,383 ft.||Bakken||Flowing||1,995||1,162||19,494|
|TOFTE 2 PAD||Lateral length||Objective||Status||IP rate BOPD||Current rate BOPD||Cum to Date BO|
|Tooheys 4-15-14HBK||6,740 ft.||Bakken||Flowing||1,078||378||37,256|
|Coopers 2-15-14HBK||6,360 ft.||Bakken||Flowing||556||305||22,694|
|Little Creature 3-15-14H||7,578 ft.||Bakken||Flowing||501||779||37,321|
|MATILDA BAY PAD||Lateral length||Objective||Status||IP rate BOPD||Current rate BOPD||Cum to Date BO|
|Matilda Bay 2-15-H||4,215 ft.||Bakken||Finished Drilling||NA||NA||NA|
|Matilda Bay 1-15-H||4,215 ft.||Bakken||Finished Drilling||NA||NA||NA|
|TF NORTH PAD||Lateral length||Objective||Status||IP rate BOPD||Current rate BOPD||Cum to Date BO|
|Bootleg 4-14-15TFH||7,211 ft.||Three Forks||APD approved||NA||NA||NA|
|Bootleg 5-14-15TFH||7,495 ft.||Three Forks||APD approved||NA||NA||NA|
|Ironbank 4-14-13TFH||7,466 ft.||Three Forks||APD approved||NA||NA||NA|
|Ironbank 5-14-13TFH||7,495 ft.||Three Forks||APD approved||NA||NA||NA|
|TF SOUTH PAD||Lateral length||Objective||Status||IP rate BOPD||Current rate BOPD||Cum to Date BO|
|Bootleg 6-14-15TFH||6,867 ft.||Three Forks||APD approved||NA||NA||NA|
|Bootleg 7-14-15TFH||6,973 ft.||Three Forks||APD approved||NA||NA||NA|
|Ironbank 6-14-13TFH||7,434 ft.||Three Forks||APD in prep||NA||NA||NA|
|Ironbank 7-14-13TFH||7,458 ft.||Three Forks||APD in prep||NA||NA||NA|
TOTAL COMPANY PRODUCTION
Samson net production for 2014 is as follows:
|JANUARY 2014||FEBRUARY 2014||MARCH 2014|
|BO: Barrels of oil|
|BOE: Barrels of oil equivalent (gas converted at its heating value)|
|BOPD: Barrels of oil per day|
|MCF: Thousand cubic feet|
|BOEPD: Barrels of oil equivalent per day|
|NA: Not available|
|APD: Application for Permit to Drill|
|IP Rate: Gross first 24 hour oil rate|
|Current rate BOPD: Barrels of Oil per Day|
|Cum to Date: Cumulative gross BO|
The sale of the two Rennerfeldt wells has been completed netting Samson a total of $200,000 which will be used to help fund the remaining wells in the North Stockyard project.
Frontier rig 24 has completed drilling the Matilda Bay #1 and #2 wells. The production liner has been run in the Matilda Bay #2 well and the production liner is presently being run in the Matilda Bay #1 well. It is anticipated that these two wells will be fracture stimulated in May or June depending on equipment availability.
After drilling the Matilda Bay #1 well, Frontier rig 24 will move to the Three Forks North Pad to begin batch drilling the first of four Three Forks wells. The four Three Forks wells are the Ironbank 4-14 and 5-14 wells and the Bootleg 4-14 and 5-14 wells. These wells are all similar in design and will have lateral lengths between 7,211 and 7,405 feet long as shown in the table above. The current plan is to then move to the Three Forks South Pad to begin drilling the final four Three Forks wells.
Samson’s working interest and its net revenue interest is set out in the following table:
|Well||Working interest||Net revenue Interest|
|Sail and Anchor 4-13-14HBK||25.028509%||19.146809%|
|Little Creature 3-15-14H||27.759719%||21.236185%|
|Matilda Bay 2-15-H||32.972255%||25.223775%|
|Matilda Bay 1-15-H||32.972255%||25.223775%|
* Wells have yet to be elected by Samson and therefore are subject to change.
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 2,547 million ordinary shares issued and outstanding (including 230 million options exercisable at AUD 3.8 cents), which would be the equivalent of 127.35 million ADSs. Accordingly, based on the NYSE MKT closing price of US$0.46 per ADS on April 14th, 2014 the Company has a current market capitalization of approximately US$61.17 million (the options have been valued at an exchange rate of 0.9392). Correspondingly, based on the ASX closing price of A$0.025 for ordinary shares and a closing price of A$0.013 for the 2017 options, on April 14th, 2014, the Company has a current market capitalization of approximately A$66.43 million.
SAMSON OIL & GAS LIMITED
Statements made in this press 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 prospectus and prospectus supplement for its recent Rights Offering as well as the Company's report to the U.S. Securities and Exchange Commission on Form 10-K, which are available at www.sec.gov/edgar/searchedgar/webusers.htm.