SAN FRANCISCO, June 5, 2013 /PRNewswire/ -- Worthington Energy, Inc. (OTCQB: WGAS) ("Worthington" or the "Company"), an energy company engaged in the acquisition, exploration, development and drilling of oil and natural gas properties, announces plans to spud an oil well today in the Vidal Island Oil Field located in Concordia Parish, LA.
Worthington recently entered into a Participation Agreement (the "Agreement") with Britlind Resources, LLC ("Britlind") of Dallas, TX, covering participation in the Britlind #1 Well, which is scheduled to spud today. Per the terms of the Agreement, Worthington will receive a 20% Working Interest in the Britlind #1 Well. Britlind anticipates drilling a total of five wells in the Vidal Island Field, in which, Worthington intends to participate. Array Operating, LLC has been designated as the Contract Operator of the well.
"I am thrilled to be able to deliver this positive news for Worthington and its valued shareholders," stated Worthington Energy, Inc. Chairman and CEO, Charles F. Volk. "The Britlind #1 Well, which is scheduled to spud today, is the first of 5 proven undeveloped (PUD) wells to be drilled in the field." The Vidal Island Field has produced approximately 1 million barrels of oil (MMBO), or 8.6% of the original oil in place (OOIP). In the 5 PUD locations there are approximately 500 thousand barrels of oil (MBO) remaining, or 4.3% of the OOIP, bringing the total recoverable oil for the field to approximately 1.5 MMBO or 12.9% of the OOIP.
The Vidal Island Field was discovered in 1979 by Exxon USA. Exxon developed the field by drilling a total of 12 wells, of which, 2 were dry. The field produced a total of 880 thousand barrels of oil (MBO) and 1.084 billion cubic feet of gas (BCFG) prior to being plugged in 1996, during a period of low oil prices. At the time the field was plugged, the daily production was still more than 70 BOPD and 175 million cubic feet of gas (MCFD) from 4 wells.
Worthington engages in the acquisition, exploration, development and drilling of oil and natural gas properties. Worthington is an energy turnaround company whose strategy is to acquire cash flow producing properties with proved and probable reserves, develop the fields by reworking existing wells and drilling new wells. Worthington was founded in 2004 and is based in San Francisco, CA.
Certain statements in this press release regarding strategic plans, expectations and objectives for future operations or results are "forward-looking statements" as defined by the Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties that could cause actual results to differ materially from the results contemplated by the forward-looking statements, including the risks discussed in the Company's annual report on Form 10-K and the Company's other filings with the Securities and Exchange Commission. Factors that could cause differences include, but are not limited to, history of losses; speculative nature of oil and natural gas exploration, particularly in the Mustang Island and Vermillion 179 formations on which the Company is focused; substantial capital requirements and ability to access additional capital; ability to meet the drilling schedule; changes in tax regulations applicable to the oil and natural gas industry; results of acquisitions; relationships with partners and service providers; ability to acquire additional leasehold interests or other oil and natural gas properties; defects in title to the Company's oil and natural gas interests; ability to manage growth in the Company's business; ability to control properties that the Company does not operate; lack of diversification; competition in the oil and natural gas industry; global financial conditions; oil and natural gas realized prices; ability to market and distribute oil and natural gas produced; seasonal weather conditions; government regulation of the oil and natural gas industry, including potential regulations affecting hydraulic fracturing and environmental regulations such as climate change regulations; uninsured or underinsured risks; and material weakness in internal accounting controls. The forward-looking statements in this press release are made as of the date of this press release, even if subsequently made available by the Company on its website or otherwise. The Company does not undertake any obligation to update the forward-looking statements as a result of new information, future events or otherwise.
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SOURCE Worthington Energy, Inc.