Valued Partners,
The ASE 4 is officially in production and is now being powered by natural gas from within the Misener/Hunton formation. We are very close to the end of this well's flowback stage, having already produced approximately 153.1 barrels of oil (as of the 9th of July). Once dewatering has been completed we will raise the pump above the perforations in the wellbore to maximize oil production. We have ordered another three tank batteries (which hold 300 barrels of oil each) to accommodate for the anticipated oil volume.
Here is a summary of all other Seminole County project developments:
The ASE 1 well's gas levels are now at a point where we can re-enter the wellbore and commence oil production. At this stage, the current strategy is to co-mingle both the Booch and Misener/Hunton formations. This will involve perforating both zones, and completing a similarly designed sand stimulation with the objective of optimizing oil production. We are currently in talks with Quasar, who have successfully completed all of the other stimulations on location, to book the earliest date to conduct the ASE 1's stimulation.
Expanding on our last portal update, the ASE 2's sand stimulation was performed using approximately 3,500 barrels of fluid and 70,000 lbs of sand. Currently, the well is in its flowback phase, and since the well already has a large pumping unit attached, our team opted to re-install the original pumpjack in order to speed up the dewatering process and accelerate oil production.
On Wednesday this week, we perforated and completed the sand stimulation on the ASE 3. The perforation gun used was 21 ft and over 19 ft of the Misener/Hunton formation was shot. Incredibly, even though the perforated zone was shorter than in the ASE 2, it took approximately 3,900 barrels of load water to complete the sand stimulation, which is up to 400 barrels more than any other ASE well in Seminole County. Deane Pearce (our registered Petroleum Engineer) mentioned that based on the greater volume of load water used, combined with the low PSI (1,100) recorded during the sand stimulation, the team could not be happier with the current completion results, and that the procedure exceeded all expectations.
On Monday, the swabbing procedure is scheduled to commence, which will involve the removal of the 3,900 barrels of load water. During this process, we will monitor the well's dewatering, oil cut, pressure levels, and in the coming weeks, we will make a decision as to whether a PCP (progressing cavity pump) will replace the current pumpjack to optimize oil production.
Regarding the Lois 1 well's road construction, the landowner has given us pre-approval to reposition the road so as to minimize the amount of timber matting required, thus saving time and reducing any additional costs. The new SUA (surface usage agreement) is scheduled to be signed early next week, with road construction to commence the following day.
https://youtu.be/w9JrbDpJQsYhttps://youtu.be/cPP7BuRKV7gPlease note that the spill referred to in the videos above is currently in the process of being removed and cleaned.https://youtu.be/FgiMQUMn4Aw
