DD and Harry,
Hwy Weatherford, 1100' of pay and your damn drill string breaks. Do you have another side of the story?
Jeda Petroleum Ltd
JED
Shares issued 13,534,933
1999-02-26 close $0.27
Thursday Mar 4 1999
Mr. Robert Atkinson reports
The company has declared that the Baytech, Inc., the operator of the Winfield Ranch 17 No. 1-F well in
Pecos County, Texas, is preparing to test and, if commercial, complete the Dovonian (21,730 feet) and
the Atoka (20,461 feet) formations. Both zones appear prospective based on log analysis and correlation
to nearby producing wells.
The Winfield Ranch 17 No. 1-F well was drilled to 25,740 feet and was cased and logged. Log analysis
indicates a potential of more than 1,100 feet of gross pay in the Ellenburger formation, a highly profile
gas zone and the primary objective of the well. During the operation to clean out the production casing, a
string of drill pipe supplied by Weatherford International, Inc. and manufactured by a Weatherford
subsidiary parted and became stuck in the bottom section of the hole. Efforts to fish out the stuck string
of drill pipe were not successful.
The working interest owners, together with Baytech, Inc., announced today they have filed a lawsuit
against Weatherford in Pecos County, Texas. The lawsuit against Weatherford seeks to require
Weatherford to pay the market value of the well, pay mitigation costs and redrill and/or pay to redrill
another well to the Ellenburger formation. The lawsuit also seeks consequential and exemplary damages.
Based on the owners' investigation of the sequence of events that led to the Weatherford pipe failure, the
owners are highly confident of a favourable outcome in the litigation.
Revenue from the company's oil and gas operations in Alberta continues to increase. Since last year end
July 31, 1998, the company has received five months revenue of $448,000, an increase of
approximately $400,000 over the same period last year. Management expects to bring on stream in the
latter part of 1999 a Nordegg well in the Pembina area of Alberta, which production tested at 1.3 million
cubic feet of gas per day, net to the company's working interest.
(c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com
Bob |
