Magnolia Petroleum Plc, the AIM quoted US focused oil and gas exploration and production company, is pleased to announce its participation in three further wells in proven onshore oil plays in Oklahoma, as part of its expansion strategy to rapidly build production and revenues. Magnolia currently has interests in 80 producing properties, a further four currently being drilled/completed and, following today's announcement, an additional 12 waiting to be spud.
Participating in the following three wells:
- Brandt 31-28-12 1H, horizontal well, targeting the Mississippi Lime Formation (Magnolia 4.1937% working interest) operated by Chesapeake Energy ('Chesapeake'). Total drill costs are estimated at US$3,715,500 with the Company's share estimated at US$155,817
- Otis 2-27-12 1H, horizontal well targeting the Mississippi Lime Formation,(Magnolia 4.188% working interest) operated by Chesapeake. The total estimated cost for the proposed work is US$3,763,800 with the Company's share estimated at US$157,628
- Campbell 1-H, horizontal well targeting the Woodford Formation, (Magnolia 0.0694% working interest) operated by Newfield Exploration. The total cost of the well has been estimated at US$9,500,568 with the Company's share estimated at US$6,593
Magnolia COO, Rita Whittington said, "We are continuing to build a pipeline of future wells which, once drilled, will add to our portfolio of producing wells in proven US onshore oil plays such as the Bakken/ Three Forks Sanish, North Dakota and the Mississippi Lime and Hunton/ Woodford, Oklahoma. Importantly, the Brandt, Otis and the previously announced Thomason and Montecristo wells show our average working interests are on the rise, in line with our stated strategy."
