HOUSTON, Aug. 15, 2012 /PRNewswire/ -- Torchlight Energy Resources, Inc. (OTCBB:TRCH) is pleased to announce the results of early stage testing of the recently re-drilled Johnson well.
The well encountered a series of excellent oil and gas shows and was tested open hole. Prior to and during the test period, over 1200 barrels of oil were produced and sold as test oil.
Based on a 24 hour test, we produced oil at a stabilized rate of 18 barrels of oil per hour or 438 barrels per day along with significant associated gas. The well also produced 5.4 barrels of water per hour however most of that is load water put in during an acid wash operation. After 30 days, we will announce the 30 day average rate.
Tom Lapinski Torchlight CEO says, "We are obviously pleased with the early results of this well. We decided to drill the Austin Chalk because of excellent shows that we encountered in the original wellbore. This well further substantiates our belief that the entire Upper Cretaceous section, Austin Chalk, Eagle Ford and Buda, are one resource play with various sweet spots. In this lease, we feel we should have multiple producing zones that we can produce from both laterally and vertically. In addition, by producing from the Austin Chalk, we now have two producing formations on the lease, with several behind pipe including those mentioned above." Mr. Lapinski went on to say, "In addition to some very nice production and resulting revenue, this well immediately increases our PUD (proved un-developed) drilling locations and Probable locations. We are currently evaluating these locations and ranking these locations so we can put together a development drilling plan which we will begin implementing later this year."
Torchlight Energy has a 50% interest in this well.
You can view more information on the company's website at www.torchlightenergy.com.
ABOUT TORCHLIGHT ENERGY
Torchlight Energy Resources, Inc, headquartered in Houston, TX, is positioned as an oil and gas company with a primary focus on oil. Torchlight will focus on highly probable and profitable drilling and working interest programs that have a short payback period, high IRR and proven reserves and are located in domestic, onshore fields.
With a proven management team and tremendous access to pre-market deal flow, the Company is positioned for tremendous near-term growth for our shareholders. Torchlight will identify drilling opportunities with a high probability of success, purchase working interest ownership in proven field development programs, spread the risk associated with drilling programs by entering into a variety of programs in different fields with differing economics but all with reputable operators and hedging production when possible for predictable cash flows.
FORWARD LOOKING STATEMENTS
The information contained in this news release, other than historical information, consists of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Such forward-looking statements involve known and unknown risks and uncertainties, including risks associated with our ability to obtain additional capital in the future to fund our planned expansion, the demand for oil and natural gas, general economic factors, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. The company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
SOURCE Torchlight Energy Resources, Inc.