BTW, wanted to add this excerpt from the Harken 10QSB for all the ROR
fans out there:
" During 1996, Harken renegotiated certain terms of the Alcaravan
Contract with Ecopetrol and amended the original contract to provide for an
extension of time to fulfill the work requirements corresponding to the third
contractual year of the Alcaravan Association Contract. The amended third year
contractual work obligations required Harken to drill one exploratory well and
return approximately 40% of the original acreage contracted. Harken spudded the
Estero #1 exploratory well located on the Palo Blanco prospect within the
Alcaravan area in early February 1997, and drilled to a depth of 8,608 feet to
test the Carbonera, Mirador, Guadalupe, Gacheta and Ubaque formations, thus
satisfying the third year requirements of the Alcaravan Association Contract.
Initial production testing of the Ubaque formation of the Estero #1 well,
produced with an electric submersible pump, indicated a rate of 4,116 barrels
of oil per day. This production rate was limited by the capacity of the
submersible pump and surface storage facilities at the location. Harken is
currently awaiting approval by Ecopetrol to initiate trucking operations to
produce and sell crude oil throughout the rainy season in the Llanos Basin of
Colombia. Harken is also completing studies to determine appropriate pipeline
connections to efficiently produce this field.
During September 1996, Harken de Colombia, Ltd. entered into an
operating agreement (the "Rochester Agreement") with Rochester Minerals, Inc.
("Rochester", a Canadian corporation) pursuant to which Rochester agreed to pay
331/3% of the aggregate costs of the initial well to be drilled on the Palo
Blanco prospect, the Estero #1 well, in conjunction with a non-refundable
project contribution of $500,000. In exchange, Rochester, upon its full
performance, will acquire a beneficial interest equal to 25% of the interest
held by Harken de Colombia, Ltd. in the Alcaravan contract, except as it
relates to the area around the Alcaravan #1. In April 1997, Rochester committed
to pay 25% of the aggregate costs related to the second well to be drilled on
the Palo Blanco prospect, the Estero #2, and the initial well to be drilled on
the Anteojos prospect. In exchange, Rochester will acquire a beneficial
interest equal to 25% of the interest for each of these wells held by Harken de
Colombia, Ltd. Both of these wells are scheduled to be spud in early 1998."
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Is that gutsy or what, committing to go in on the next drilling round
when you're still months away from getting a financing commitment!
Also, anyone wanting to learn more about oil exploration in Columbia
may want to check out the Ecopetrol web site at:
ecp.com
Click on the "English Section" and your home free (unless you habla
Espanol). |
