New Gulf Energy, LLC Achieves Record 1217 Barrels Per Day from Latest Well in Horizontal Woodbine Oil Project

TULSA, Okla., Sept. 23 /PRNewswire/ -- New Gulf Energy, LLC (NGE) today announced record well results from its most recent well completed in its Horizontal Woodbine Oil project located in Madison, Brazos and Grimes Counties, Texas.

Petro Texas LLC, a subsidiary vehicle of NGE, and its joint venture partners, Petromax Operating, Inc., are currently completing wells number 12 and 13 with an inventory of more than 31 additional long-lateral proved, undeveloped horizontal locations in the play. The partners are using the very latest in horizontal drilling and completion technology including, in some cases, laterals in excess of 8,000 feet with up to 38 frac stages. The latest well completed by the partners, the Oltmann #1H in Madison County, has resulted in initial production in excess of 1,217 barrels of oil per day (BOPD) and an estimated several hundred thousand cubic feet of natural gas per day. Natural gas metering facilities are currently being installed. The partners have steadily tweaked the completion methods, lateral lengths, frac stages and distance between stages to optimize production and reserves. Based on the analysis of third party engineers, the estimated unrecovered reserves (EUR) for the wells utilizing the latest completion methods are in excess of 500,000 barrels of oil per well. The partners have developed an extensive natural gas gathering system in the field and are utilizing gas lift to assist the older wells. NGE owns an average of 50% working interest in the field.

"We have continued to tweak the drilling and completion methods on these wells and with each new well completed, the rewards keep getting better," said Tracy Poole one of the founding partners of NGE and its acting Vice President and General Counsel. "We have proven time and time again that with the application of cutting edge drilling and completion methods we can successfully develop massive amounts of oil from legacy fields." The partners are currently completing an average of one horizontal well per month in the field and plan to continue at the same pace. NGE is also developing two additional low risk projects that deploy similar technology in proven areas.

About New Gulf Energy, LLC

New Gulf Energy, LLC is based in Tulsa, Oklahoma and is owned and operated by partners, Don Kane, Jeff Guenther, Wink Kopczynski and Tracy Poole. NGE owns, manages and operates upstream and midstream energy projects in Texas, Louisiana, Kansas and Oklahoma.

SOURCE New Gulf Energy, LLC