Dear Valued Investor Partners,
We hope this update finds you well.
This portal provides the operational update on the Lois Anne #1-1 well from this week.
HUNTON FORMATION COMPLETION - OPERATIONS TIMELINE
November 17, 2025 - Pre-Frac Operations:
- Static pressure: 225 PSI
- Swabbing operations to assess formation:
- Fluid level at 3,100 feet from the surface
- 50 feet of free oil observed
- First swab: 12 barrels at 20% oil cut
- Second swab (after 1 hour): 10 barrels at 20% oil cut
- Third swab (after 1 hour): 2 barrels at 20% oil cut
- Well shut in overnight
November 18, 2025 - Hydraulic Fracturing Operations:
- Static pressure: 200 PSI
- Wallace Acid-Frac Company and C&J Trucks arrived
Frac Treatment Conducted & Pumped:
- 10,000 gallons of 15% retarded acid
- 10,000 pounds of 20/40 sand proppant
- 1,000 pounds of rock salt
- 100 pounds of acid flakes
- Carried in 725 barrels of slick water
- Flushed with 180 barrels of slick water
- Total Load: 1,141.3 barrels
November 19, 2025 - Completion Operations:
- Installed 1-1/4" pump with 158 joints of 3/4" sucker rods
- Well hung on 228 pumping unit
- Well shut in overnight
INITIAL PRODUCTION RESULTS
Early Flow Performance:
- Static pressure: 225 PSI
- First swab: 20% oil cut
- Strong gas presence during swabbing (very positive indicator)
First 24-Hour Production (November 19-20, 2025):
- Approximately 40 barrels of load water were recovered from 6:00 PM to 8:00 AM
- Daily 24-hour gauging commenced
PRODUCTION OUTLOOK & MONITORING
Recovery Timeline:
- Approximately a 10-12 day period is expected to recover the load water before a true oil cut percentage can be established
- Any oil production before this timeframe will be an excellent early sign of success
- Gas production will be closely monitored. Rick, our field pumper, reported a strong gas presence today.
NEXT STEPS
- Continue daily production monitoring
- Monitor the load water recovery
- Assess gas production buildup
- Evaluate oil production rates as the load water is recovered
- Provide regular updates as well stabilizes
CO-FOUNDER SITE INSPECTION
Co-Founder Dylan Knight drove from ASE Dallas Headquarters to personally oversee the hydraulic fracturing operations on the Lois Anne #1-1 well. During his site inspection, he documented the operations on camera.
All reports confirm the hydraulic fracturing treatment into the Hunton formation went perfectly to plan. We have created a short video capturing key moments during the operation.
We will provide additional updates as production data becomes available over the coming weeks.
Best regards,
THE ASE TEAM
