The team is looking forward to the upcoming weeks and the progress we can make with the Lois 2 well.
Valued Partners,
Our team has completed the repositioning for the ASE 1's downhole pump to 90 ft below the Misener/Hunton formation's perforations, and since this time there have been two days where the oil cut has improved with a sizable spike in oil production. As the ASE 1 well continues its flowback phase (approximately 90% removal of stimulation fluid) and enters the dewatering stage, we expect to continue to see improvements in oil production.
Following the previous portal update, the ASE 2 well (post repairs) has been very consistent regarding its oil production. Within the past seven days, we have seen two days where oil volumes spiked.
This week Deane Pierce and our team continued to collect samples at the wellhead, which is still showing up to a 40% oil cut. Due to the cold weather, and other factors, we want to confirm that all of the oil is separating out, so as to ensure all oil is going into the tanks. We have increased the percentage of emulsion chemicals used in each well, and we are looking at installing heater treaters as an additional solution to maximise the volume of oil which is collected in the tank batteries.
This week we sent all Seminole County investors a very important email that outlined our strategy for 2022 and reinforces our commitment to each and every one of our investor partners. It states that our mission and primary goal for 2022 is to accelerate the time in which each of our investor partners receives monthly revenue, and to maximise their return on investment.
Our commitment and strategies will have a massive positive impact on all investors who have been patiently waiting for wells to achieve peak production, and for investors in Phases 4 through 8, who have experienced long delays.
The email was sent from info@alphasevenenergy.com. If you have not received the email, please check your spam folder, or feel free to request another copy to be emailed to you.
Please note, there was a different email sent out to each group of investors. Group 1 includes Phases 1-4, Group 2 includes Phases 5 and 7, and Group 3 includes Phase 8. The emails outline the unique strategy that we have designed for each respective group of investors.
Below is a summary of all other Seminole County project developments.
Since the repositioning of the downhole pump and completion of repairs, the ASE 3 well has recorded three of its largest single-day oil production volumes, which is very encouraging! Over the past few days, our team has increased the quantity of emulsion chemicals used, so as to ensure the maximum separation of oil and water. Additionally, we are considering installing heater treaters, as an additional method to maximise the volume of oil which is collected in the tank batteries.
Regarding the ASE 4, in the past three days, the well has been down due to mechanical issues, mainly due to freezing temperatures and snow buildup. Our team is working on getting the well back online ASAP. On a positive note, since the downhole pump was lowered 90 ft below the perforations, we have seen an improvement in the daily oil production. Similarly to the ASE 1-3, we have increased the quantity of emulsion chemicals we use, so as to ensure the maximum separation of oil and water. Additionally, we are considering installing heater treaters as an additional method to maximise the volume of oil which is collected in the tank batteries.
Seminole County has experienced consistent snowfall and freezing temperatures which have impacted road construction, thus impacting the ability to move ASE rig#3 to the Lois 2 location. As soon as we can move the rig, we can instruct Yellow Jacket to perforate the Lois 1 well in preparation for the sand stimulation conducted by Quasar.
In the past two weeks, there has been little to no activity regarding the Lois 2 road and pad construction due to heavy snowfall. Fortunately, the weather in Seminole has recently started to warm (which you will see in the video below), meaning weather-related delays should be less likely. That being said, we have a large majority of the casing and other components required to drill the Lois 2 well, meaning once ASE rig#3 is mobilised and in position, the drilling process will be extremely quick (7-10 days). In addition, the completion and production phases should be streamlined due to already preparing the facilities in readiness for the Lois 1 to come online. https://youtu.be/Gs0qGiqAjjw
The team is looking forward to the upcoming weeks and the progress we can make with the Lois 2 well.
