FX Energy, Inc. (Nasdaq:FXEN
- News) FX Energy today reported
excellent gas shows during coring of the top level of Rotliegend
sandstones in the Company's Lisewo well. The gas
shows were observed on the mudlogging unit during
coring of the interval from 3810 to 3846 meters. The remaining schedule is to
core and drill to a total depth of 3945 meters, run electric logs to estimate
reservoir properties and the gas water contact, and then conduct a production
test.
"The gas shows and cores are very
encouraging. We have more drilling, coring, logging and testing to do before
we can say this is a commercial gas deposit. So far, however, everything looks
as good as we could have hoped," remarked Andy
Pierce, the Company's Vice President of Operations.
At present, the Lisewo
well has cored a total of 33 meters of porous Rotliegend sandstone. The well will be drilled to
3945 meters, with additional cores and logs to help determine the full extent
of the pay zone and other reservoir parameters. The nearest existing field is
the Polish Oil and Gas Company's ("PGNiG")
390 Bcf Radlin field,
about 12 kilometers west.
PGNiG is the operator of Lisewo
and owns 51%; FX Energy owns 49% of the working interest.
The Lisewo
Target
The Lisewo
well is being drilled on a large 3-D defined structural trap located in the
Company's "Fences" concession in west central Poland. If the Lisewo well
is deemed commercial, and depending on log and production test data and
geophysical analysis, the Lisewo structure could
require additional wells for full development. In addition, drilling on two
nearby satellite structures may be warranted.
About FX Energy
FX Energy is an independent oil and gas
exploration and production company with production in the US and Poland. The Company's main exploration and
production activity is focused on Poland's
Permian Basin where the gas-bearing Rotliegend
sandstone is a direct analog to the Southern Gas Basin offshore England. The Company trades on the NASDAQ Global
Market under the symbol FXEN. Website www.fxenergy.com.
FORWARD-LOOKING STATEMENTS
This report contains forward-looking
statements. Forward-looking statements are not guarantees. For example,
exploration, drilling, development, construction or other projects or
operations may be subject to the successful completion of technical work;
environmental, governmental or partner approvals; equipment availability, or
other things that are or may be beyond the control of the Company. Operations
that are anticipated, planned or scheduled may be changed, delayed, take
longer than expected, fail to accomplish intended results, or not take place
at all. Actual production over time may be more or less than estimates of
reserves, including proved and P50 or other reserve measures.
In carrying out exploration it is
necessary to identify and evaluate risks and potential rewards. This
identification and evaluation is informed by science but remains inherently
uncertain. Subsurface features that appear to be possible traps may not exist
at all, may be smaller than interpreted, may not contain hydrocarbons, may
not contain the quantity or quality estimated, or may have reservoir
conditions that do not allow adequate recovery to render a discovery
commercial or profitable. Forward-looking statements about the size,
potential or likelihood of discovery with respect to exploration targets are
certainly not guarantees of discovery or of the actual presence or
recoverability of hydrocarbons, or of the ability to produce in commercial or
profitable quantities. Estimates of potential typically do not take into
account all the risks of drilling and completion nor do they take into
account the fact that hydrocarbon volumes are never 100% recoverable. Such
estimates are part of the complex process of trying to measure and evaluate
risk and reward in an uncertain industry.
Forward-looking statements are subject
to risks and uncertainties outside FX Energy's control. Actual events or
results may differ materially from the forward-looking statements. For a
discussion of additional contingencies and uncertainties to which information
respecting future events is subject, see FX Energy's SEC reports or visit FX
Energy's website at www.fxenergy.com.
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