FX Energy, which is focused
primarily on development and production of the Polish portion of the massive
northwest European Permian’s (which runs all the way over to the UK) gas and
oil bearing Rotliegend sandstone fairway, reported good news today out of their
gas-rich Ca1 (Basal Limestone) Zechstein formation-focused activities, as
drilling on the latest well, the Tuchola-4K, has now begun.
Right on schedule after the
recent rigging up announcement for the well at the start of the month (Feb 3),
the Tuchola-4K site is located just over 2.6k feet west of the 5 MMcf per day
tested Tuchola-3K discovery which was completed last year. Tuchola-3K even
returned traces of condensate from a dolomite section in the Ca1 around 8.8k
feet (Ca2, the Main Dolomite, which is the second carbonate horizon here, has
also recently been proved to be oil and gas bearing in subtle stratigraphic
plays), making this latest well, which targets the same Ca1 Zechstein
formation, a natural evolution of the company’s strategy for the area.
In addition, the Tuchola-4K,
which is planned to plunge for a total of just over 11.3k feet during the next
three months or so of projected drilling time (barring complications due to
coring and testing, as well as the weather of course), will be striking at much
lower objectives than before, with targets set as far down as the Upper
Devonian. Actually the first of two wells slated for this year in the company’s
giant 730k gross and net acre Edge concession (100% interest acquired in four
blocks total back in 2008), which is rife with Permian-age reefs and Devonian
structures according to the extant 2D and 3D seismic data, the Tuchola-4K’s
drilling also heralds the start of a more comprehensive 3D seismic acquisition
program for the area by FXEN.
Bolstered by their successes
thus far and interested to get more guidance from analytical data, FXEN has now
designed over 136 miles of 3D seismic work, with plans to identify yet more
choice targets for future development in the Tuchola area of this sizeable
concession. FXEN is also looking healthy enough to handle all of this with ease
too, having existing working capital or credit lines that are more than
sufficient to cover the capital budget for 2014, in which the two new wells and
seismic program are included. Shareholders can rest assured that the company is
clearly forging ahead here with their bottom line developing the Polish
Permian.
President of FXEN, David
Pierce, feels that with the extant (yet sparse) regional data and success of
the Tuchola-3K, a good result off the Tuchola-4K tests (or the next well slated
for this year), would broadly reinforce the company’s emerging view that they
have their hands on a very exciting play here. Confirmation of this view would
substantially de-risk development of the area and investors should keep a close
eye on the test data coming from the Tuchola-4K soon for some positive
indicator that a major exploration effort could soon be underway in this
concession.
To learn more, head on over
to the FX Energy, Inc. site at www.FXENergy.com
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