To all: After long delays, the drill is finally turning!!!! It's getting very exciting. following is news release yesterday:
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Subject: NEWS RELEASE (CWQ-VSE)
Date: Wed, 09 Jul 1997 14:51:53 -0700
Drilling has commenced on the Company's Bacon Island project located in San Joaquin County, California. The L. Jones #1 well spudded on July 9, 1997 and is expected to reach total depth of 10,000 feet in about 2 weeks. The Bacon Island project is a very high potential, multi-zone, well-documented natural gas prospect. Success in a project of this nature will add significantly to the Company's future cash
flow, reserve base and net asset value.
The Company and its partners control leases totaling approximately 1,000 acres covering the prospect, which is positioned along the well-known Meganos Gorge producing trend. The prospect has been identified by means of existing well control and seismic data. Seismic anomalies appear to correspond with the top of the Upper Cretaceous Lower Third Massive, Bunker and deeper Tracy Sands, all of which are
prolific gas producers in the basin. A recent decision has been made to extend the depth of this well to test the Winter Sand, which is a major producer of both oil and gas in the basin. Closure is composed of a westerly dipping nose, trapped to the east by a well-defined fault, with north closure against the shale filled Meganos Gorge.
Potential reserves are estimated at over 100 BCF of natural gas. Pipeline and infrastructure facilities are located within 3 to 4 miles of the site. If successful, it is anticipated that a total of four wells would ultimately be required to completely develop the field.
The Company has been successful in attracting investors to pay 75% of the costs of the initial test well, with Curlew Lake retaining various
increasing working interests ranging from 32.5% initially to 40.5% following total project payout. Mountain West Resources Inc. will pay 30% of the costs, Rockwell Ventures Inc. and Module Resources Inc. 10% each, all VSE listed companies, and private interests the balance.
On behalf of the
Board of Directors
"Signed"
Robert. B. Pincombe
President. |
