(ASX:BUR) Heintschel #1 Frac Successfully Completed
Sydney, Oct 28, 2010 - (ABN Newswire) - Burleson Energy Limited (ASX:BUR) is pleased to advise that the fracture stimulation program (frac) at the Heintschel #1 well has been successfully completed and the well is now flowing hydrocarbons. The well is currently choked back but is flowing gas and condensate at good rates. Recovery of frac fluid and water production have both been steadily declining whilst the well continues to clean up. Well head pressure has also been steadily increasing indicating good reservoir drive from permeability created via the frac. Although it is still too early to establish definitive flow rates the results to date are encouraging and the well is expected to be turned to sales tomorrow.
Based on this preliminary information the Heintschel #1 well appears likely to achieve pre-frac expectations when compared to analogous wells and fields in the region. The well will continue to recover frac fluids and clean up over the next few days which will provide a clearer understanding of stabilised rates and well performance. Further information will be provided in due course.
BUR Managing Director Mr Mike Sandy commented: "The results of the frac are very encouraging as they have substantially enhanced the initial Heintschel #1 flow rates. It is still early days, however the initial production rates are very pleasing, and as the well cleans up we anticipate that steady improvement will occur over the coming days. At this stage the frac has met our expectations and has shown that the Heintschel sands are capable of flowing hydrocarbons at commercial rates The results also provide encouragement for the future potential development of the Heintschel field.".
About: Burleson Energy Limited
Burleson Energy Limited (ASX:BUR) has teamed with an experienced Texan oil and gas family (AKG Energy) in the drilling and potential development of hydrocarbons in one of the most valuable energy provinces of America.
BUR listed in May 2006 to acquire a 40% working interest in various oil & gas leases in Burleson County, Texas USA. The Burleson County Properties are located within the prolific Giddings Field area within the Austin Chalk and Georgetown oil & gas trends. Most wells drilled in recent years into the Austin Chalk formation, have discovered gas and condensate.
Late in 2006, BUR embarked on the second phase of asset acquisition by joining with AKG Energy, and major US company, Marathon Oil, to participate in Austin Chalk leases in the Champions area, Grimes and Montgomery Counties, Texas. Combined with some further Champions area leases and acreage in Brazos County - both held by AKG - the new projects provide BUR with at least 7 additional infill development drilling targets. BUR has a 17.5% working interest in these new leases.
BUR's portfolio now consits of a minimum of 25 drilling targets(including 9 firm wells at this stage) providing a continuous drilling programme of at least 18 months, which could extend to several years. Operator AKG is looking to secure a second rig to accelerate the programme.