No technical problems/Both wells drilled within budget
Denver/Heidelberg. Deutsche Rohstoff AG’s US-Oil subsidiary Tekton Energy (www.tektonenergy.com) reported today that it successfully drilled its first two horizontal wells near the town of Windsor in Colorado/USA. The Tekton team managed to keep both laterals within the oil-bearing formation over nearly the full length of 4,100 feet (1,250 meters). No major technical problems were reported and on average, drilling times and costs were as expected. It is still planned to complete the two wells during April and start production in early May. After the first month of production, Tekton plans to get a reserve calculation prepared as basis for further financing.
Jerry Sommer, CEO of Tekton Energy, noted: “I am very proud of our team and how they performed on our first horizontal work. Typically, companies have difficulties on their first horizontal wells but through tremendous planning, communication, talent and good science, our team of Tekton staff, partners and consultants delivered great results on our first two wells.”
The first two wells are part of Tekton’s overall plan to develop the full potential of its acreage of currently 2,300 acres. Tekton expects to drill up to 80 gross/60 net horizontal wells on its leases. As of today, over 60 of these wells have been permitted through State and local authorities. Comparable horizontal wells are reported to define reserves of 325,000 to 350,000 Barrels of Oil Equivalent each.
Heidelberg, 3 April 2013