Dear Valued Investor Partners,
We hope this update finds you well.
Below is a summary of recent developments regarding the Phase 4 well at the Seminole County oilfield.
STRATEGIC DEVELOPMENT DECISION
Project Status Update: As mentioned in the previous portal, we are implementing a strategy to complete the Lois Anne 1 well and recomplete the ASE 1 well prior to completing the Lois 1 well (Phase 4). With regards to the ASE 1 well, on July 29th, we began the procedure for the Woodford recompletion as planned. The workover was successfully completed in the first week of August. Our technical team has been monitoring the well through the flowback stage, in which approximately 50 barrels of water were used during the completion process, which incorporated an acid treatment after perforating the Woodford pay zone.
Current ASE 1 Performance: Reports directly from our pumper, Rick, indicate that in the past 12 hours the well has produced 5 barrels of oil and seems to be improving as we have retrieved approximately 50% of our load water through flowback. This is a positive development for the Lois 1 well and other wells located at the oilfield.
Lois Anne 1 Progress: Regarding the Lois Anne 1 well, this week we have been building the road and pad in preparation to commence drilling. We are 2nd in the queue, and due to some delays, our new drilling commencement date is the end of August, early September.
Data Collection Strategy: We are awaiting further data from the swab test results on ASE 1 and the completion of the Lois Anne 1 well, before proceeding with any Lois 1 well completion decisions.
Formation Selection Strategy: This comprehensive data collection will allow us to definitively select which formation - whether the Woodford formation or the Booch formation - should be targeted first for the Lois 1 well, based on actual field performance rather than geological projections alone.
Risk Mitigation: By prioritizing this critical data collection, we minimize completion risk and maximize the probability of achieving optimal production rates from the Lois 1 well, ensuring the best possible returns for our investors while avoiding the fluid entry challenges that have affected other wells in the Booch formation.
ASE NEW INVESTOR PORTFOLIO MANAGEMENT PLATFORM
We are pleased to confirm that every investor has been sent a registration email to set up their individual platform access. You can now access your personalized investment portal via our website by clicking on the "Partner Portal" (located at the top right-hand side of the homepage) and selecting the drop-down box named "My Investment Account".
The new platform provides enhanced features, including real-time access to monthly statements, production reports, tax documents, and comprehensive investment tracking tools designed to improve your overall experience with ASE.
TAX DOCUMENTATION UPDATE
We are pleased to report that the K-1 form for this Limited Partnership has been finalized and is now available for your review. Please access the information via the platform in the "Documents" section. If you have any questions or require assistance navigating the platform, please contact Claudia Brugge at claudia.v@alphasevenenergy.com.
Once again, we sincerely apologize for the delay and any inconvenience this may have caused. The migration of all investors and their holdings to our new investment platform has been a massive undertaking. Moving forward, we are confident this enhanced system will significantly improve your investment experience with ASE and ensure next year's K-1 forms are completed on schedule.
UPCOMING COMMUNICATIONS
Our next investor portal update will be released on September 11th (US time).
Best regards,
THE ASE TEAM
