FIELD ACTIVITIES / Peregrine Announces Completion Results
ASE SYMBOL: PGG
MARCH 19, 1998
CALGARY, ALBERTA --Peregrine Oil and Gas Ltd. (ASE - PGG) along
with its partners in the Arkoma Joint Venture project (Hampton
Court Resources Inc. - ASE-HCR, Invader Exploration Inc. - ASE-INX
and Plexus Energy Ltd. - ASE-PXU) have completed evaluation
testing on the Joint Venture's Alpine (formerly called Checotah)
and Brightstar (formerly called Keota #3) exploration wells
located in Oklahoma, U.S.A.
The Alpine exploration well (net 23.75 percent working interest)
was perforated and frac treated within 40 feet of gross pay (18
feet net) within the Spiro sandstone interval at a depth of 830
feet. The well was production tested at rates of 850,000 cubic
feet per day with flowing pressure of 145 psi. It is expected
that the well will be tied in for production in the near future
and should be capable of producing approximately 750,000 cubic
feet per day.
The Brightstar exploration well (net 23.75 percent working
interest) was perforated and frac treated within the top 134 feet
of the Arbuckle carbonate interval at a depth of 7,280 to 7,414
feet. The well is interpreted to have between 30 and 40 feet of
low quality, primary porosity along with intermittent fracture
porosity within this gross interval. An extended production test
indicated that the well is capable of producing at rates of
100,000 to 150,000 cubic feet per day with flowing pressure of
over 200 psi. It is expected that the well will be tied in to an
adjacent 60 psi. gas sales line in the near future and should be
capable of producing approximately 150,000 cubic feet per day.
This relatively tight, high pressure reservoir is expected to
produce at these low rates for many years.
The gas from both wells is expected to sell into the local spot
market which, in spite of the recent drop in world oil prices, has
held at over $2.00 (U.S.) per thousand cubic feet.
Drilling is proceeding on the Joint Venture's Crystal Springs
exploration well located in north-western Arkansas, U.S.A. This
10,000 foot exploration well will target large reserve potential
carbonate reservoirs within the Hunton and Arbuckle Formations.
The well is expected to reach total depth within the next 10 days.
The Arkoma Joint Venture (net 25 percent working interest) is
continuing with the development of additional prospects from its
offices in Tulsa, Oklahoma. The Joint Venture has acquired over
40,000 acres within the gas prone Arkoma Basin and intends to
drill an additional 6 to 12 high potential exploration prospects
during the balance of 1998. |
