Dear Valued Investor Partners,
We hope this update on our Seminole County Project finds you well.
As outlined in our previous communication, we have a foundational plan in place, and as we move forward, we will be able to share more detailed insights. We greatly appreciate the patience of all investors who are awaiting the recommencement of oil and gas revenue.
ASE believes it is essential to keep you informed at each step of the Seminole plan for Phases 1-3, ensuring transparency as we track the progress of each phase.
Phase 1 (ASE 1 & ASE 2 Wells):
We plan to perforate and stimulate the Woodford Shale formation found behind the pipe, corroborated by cross-sectional analysis of the ASE 1 log and neighboring wells. This will enable co-mingling of the Hunton-Misner formation with the Woodford shale. The AFE (Authority for Expenditure) is expected next week.
Phase 2 (ASE 3 Well):
The ASE 3 well has been consistently pumping for the past 12 days with no downtime, which is encouraging. However, production is currently at 5 BOPD and 45 mcf of natural gas, compared to a peak of over 180 BOPD. We believe the Booch perforations may have become clogged and require stimulation.
We are awaiting pricing for two potential frac stimulation methods: a gel frac and a nitrogen frac. After evaluating both economically, we will proceed with the most effective method to substantially boost oil and gas production. The AFE is also expected next week.
Phase 3 (ASE 4 Well):
A second geological review confirms promising shows of Booch, which we plan to perforate and produce from this proven pay zone. We are currently waiting on bids for the scope of work required.
There are many moving parts to this project, and we are working diligently to keep everything on track. We are building positive momentum, and our focus is laser-sharp on maximizing the value of your investment. With proven reserves and a dedicated team, we are confident in achieving success.
We sincerely thank you for your continued support and patience. We look forward to sharing more updates in the next portal.
Best regards,
The Alpha Seven Energy Team
