Commonwealth Purchase 50% Of New Gas Prospect in Texas;
Engineering Report States Reserves of 38 Billion Cubic Feet of Gas in Existing Well?
Commonwealth Energy Corp. ("Commonwealth" or "the Company") is pleased to announce it has acquired a 50% Working Interest in the BEDSOLE UNIT, a 700-acre Natural Gas horizon in Leon County, Texas. Trend Capital Corp., a privately owned Company owns the remaining 50% working interest.
Commonwealth and Trend Capital Corp. hired the engineering firm of William M. Cobb & Associates Inc., Worldwide Petroleum Consultants to do an Engineering and Economic study of the existing well bore on the property. The study completed on April 1, 2000 analyzed the Bossier Zone at a depth of 14,140 feet, the Cotton Valley Sand Zone at a depth of 12,738 feet, and the Travis Peak Zone at a depth of 9,370 feet. The results of the Engineering Study indicate Natural Gas Reserves in this one well to be 38.3 Billion Cubic feet of Gas with a net probable recovery of 16.32 Billion Cubic feet of Gas. This is the combined total of gas reserves in the three zones behind casing in the well based on a 160-acre spacing unit. In addition 3D Seismic as well as Electro-Seise Inc.'s airborne Gravity Seismic technology both indicate that there are two Pinnacle Reef potential drilling targets contained within the 700-acre Bedsole Unit. The Bedsole Unit lies on trend within 1.5 miles of two Reef discoveries. The Marshall A-1 discovery has to date produced 900 Billion Cubic feet of Gas and continues to produce 10 Million Cubic feet of Gas per Day. The Poth Wells Discovery has produced more than 60 Billion Cubic feet of Gas from 2 wells and they are currently producing more than 20 Million Cubic feet of Gas per Day.
When the existing well on the property known as the Amerada Hess T-BAR-X Bedsole #1 (Bedsole #1) was drilled, the primary target was the Cotton Valley Reef at 16,312 feet. During the drilling process, the well was logged at 14,242 feet and 7-inch intermediate casing was set. The drilling company then proceeded to drill to 16,312 feet and made two unsuccessful horizontal attempts to locate the Reef.
Pinnacle Gas, a subsidiary of Western Gas Pipeline have a 20-inch pipeline within 2,000 feet of the Bedsole #1 well and are able and willing to buy all the Gas that Commonwealth and Trend can produce from the well. Commonwealth plans to perforate, treat, and test the Bossier Zone in the Bedsole #1 well at a depth of 14,140 feet during May, 2000.
The drilling of the Driscoll 22-19 Well on the Madren Draw Prospect in Wyoming is progressing as planned. As of 7 a.m. today, the Company is drilling at a depth of 1,662 feet. The target zone is the Fall River (Dakota) Formation at a depth of 5,500 feet.
Lorne Torhjelm, President of Commonwealth Energy Corp. is a 50% owner of the private company, Trend Capital Corp. For more information, please contact Doug Wolters or Robert Stewart at 1-800-950-2587 or visit the Company web-site at www.commonwealthenergy.com.
THE CANADIAN VENTURE EXCHANGE (CDNX) HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
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