MANZANO SHALLOW DEVELOPMENT #2 ADDS TO
DRILLING SUCCESS
23 April 2008
ONG GAS FLOW AT MANZANO PROMPTS
(3.1 MMCFD) SECOND WELL
Manzano Shallow
Development well – (Dunn McCampbell 11A) BNP Operator, GGP WI Prospect 35%
The Second Manzano Well (Dunn McCampbell
11A) was
spudded on 5 April 2008 (Texas, USA).
The Board is pleased to advise that the
well has reached a depth of 10,755ft MD (9,503ft TVD). Electric logs were
run and results within the primary objective indicate of net pay of 10ft – 12ft
within the Marg Tex reservoir. Well completion is currently underway and
a testing program is being developed. Initial production data will be
released when available.
Seismic
interpretation and correlation with other wells in the area suggest that this reservoir
may be part of a large accumulation covering an area of up to 1,000
acres. The
Marg Tex reservoir commenced production on the Manzano shallow well (ST991 #1)
producing at more than 3.1 million cubic feet of gas per day from a perforated
6 ft interval. Water production has increased to over 300 bbls per day placing
significant restriction on the flow of gas reducing the flow rate to around 600
mcf/d. Plans are to move a service rig into the ST991#1 well to undertake
curative action most likely being a cement squeeze and reperforating to stop
the water production.
Partners in the Dunn McCampbell 11A well
are:
Golden Gate Petroleum Ltd (ASX code:
GGP) 35.00%
WI
Modena Resources Limited (ASX code:
MDA)
12.50% WI
BNP et al
52.50% WI
Comments
The Company continues to be pleased with
the exploration success achieved in the past 8 months. With the addition of
DM#11A the Company will have 10 producing wells that are generating strong
production volumes for the Company at a time when US gas prices are over US$10
mcf.
In addition, the Company looks forward to
the commencement of a new prospect, “Bullseye” in Louisiana, which if
successful will unlock significant shareholder value.
This report has been reviewed and signed
off by Mr Sam Russotti, CEO, (BSc Geology) with over 30 years experience
in the oil and gas sector.
Golden Gate is an independent oil and gas
exploration and production company listed on the Australian Stock Exchange. Its
focus of operations is onshore Texas and Louisiana Gulf Coast region of the
USA.
To
view the full announcement, as well as additional information on the Company,
please click on the link below:
http://www.ggpl.com.au
For further information contact:
Steve Graves
|
Sam Russotti
Chairman
Phone + 61 2 6587 4348
|
Mark Freeman
Director
Phone +61 8
9324 1177
|