Dear Valued Investor Partners,
We hope this update finds you well. Please find the full update below.
LOIS ANNE #1-1
Status: Producing
Total oil produced: 78.49 barrels
Total gas produced: 850 Mcf
We plan to drill out the bridge plug and re-open the Wilcox perforations, which would be commingled with the current Hunton production. This work is planned to follow the completion of the Lois #1 saltwater disposal well, which will provide the water handling capacity to support the additional production.
Following our discussion with geologist John Dowds, he advises that this well is also a strong candidate to open up the Booch formation, which would mean producing from all three zones simultaneously. We are confident we can secure OCC approval for this, as there is strong evidence of a fault dividing the #1-1 and the #2-1 wells. This is something we are actively working on, and we will provide further updates in the following portals.
LOIS ANNE #2-1
Status: Preliminary Gas Production Commenced
During June, the pumping unit was set on location and the flow lines are being buried and installed. The new tank battery is now fully operational, with the free water knockout, gas separator, water tank, and oil tanks all installed.
Casing pressure: 320 psi
Calculated bottom hole pressure: 381 psi
Fluid levels were shot on the well, and based on this information and the strong downhole pressure, the well has been producing gas over the last few days, with gas volumes starting to increase. We are now booking our workover team to run rods and set up the pumping unit, and we are awaiting power to be installed, not only for this well but for the wider ASE Lois LP facilities.
LOIS ANNE #3-1
Status: Drilled Uncompleted
The Lois Anne #3-1 remains drilled and cased, with completion scheduled to proceed once the saltwater disposal system is up and running. This sequencing ensures the well can be brought online with full water handling capacity in place from day one.
LOIS ANNE #4-1
Status: Shut-in
Fluid levels were shot on the Lois Anne #4-1 during June, showing minimal pressure at the wellhead and a calculated downhole pressure of 24 psi. The well is shut-in while future development plans for the field, including a potential waterflood, are evaluated. The pressure data gathered this month is a valuable input into that planning work.
We held a meeting with our geologist John Dowds, who will take this to his group of engineers to determine the best course of action to bring this well into production, with multiple frac designs and processes available for consideration. Based on the logs, this well shows the best looking Booch across the entire oilfield, with 20% porosity, which is very high. We know the oil is there, and what is lacking is the drive. The Booch formation is gas driven and contains almost zero water, which is why a waterflood could be the best solution, not only to recover the primary oil but also to extract the secondary oil.
LOIS ANNE #5-1, LOCATION SELECTION IN FINAL STAGES
We held a meeting with our geologist John Dowds this week, and we are currently in the final stages of selecting the location for the next well in ASE Lois LP, the Lois Anne #5-1. This selection is being informed by the extensive geological data gathered from the wells drilled to date, ensuring the #5-1 is positioned to deliver the best possible result. We will confirm the selected location and provide more details in an upcoming portal release.
LOIS #1 SALTWATER DISPOSAL WELL, PERMITTING PROGRESSING
Status: Awaiting OCC Approval
The Lois #1 has been transferred to FP Operations and the saltwater disposal permit application has been accepted by the Oklahoma Corporation Commission (OCC). The permitting process is progressing well. Water samples have been obtained from the ASE 2 and Lois Anne #1-1 (production water for disposal) as well as from two area fresh water wells, and the proposed wellbore schematic has been filed with the OCC. We are now awaiting the next steps from the OCC.
The completion AFE for the Lois #1 is ready for approval, positioning us to move quickly once the OCC approval is received. This disposal well is a key enabler for the wider field, unlocking additional production from all of the wells.
ASE 1
Status: Temporarily Shut-in
The ASE 1 workover AFE is ready for approval. The Hunton formation, which has historically produced large volumes of water, becomes economically viable with disposal capacity in place. The most recent test of the Hunton showed a flow rate of approximately 300 barrels of fluid per day with an oil cut. Once disposal is available, produced water will be pumped to the Lois #1, giving the ASE 1 the highest probability to pump profitably. This well also contains the Woodford and Booch formations, meaning we would commingle all three zones to maximise oil and gas production. In addition, with the planned waterflood this well would be positivity impacted, interms of Booch production.
ASE 2
Status: Producing
The ASE 2 had a solid month with very few issues and continues to run smoothly.
Total oil produced: 160.32 barrels
Total gas produced: 994 Mcf
Total water produced: 202.07 barrels
CARTER REYNOLDS
Status: Producing
The separator patching work was finished and the well was returned to production on June 3rd. The well is producing as normal at approximately 2.76 barrels of oil per day.
Total oil produced: 77.28 barrels
The tanks were ready for a load at month end, however the purchaser did not arrive before the end of the month. The load was hauled on July 2nd and the sale will be reflected in the July figures.
Our next scheduled investor portal update will be released on or before August 12th, 2026.
Best regards,
THE ASE TEAM
