Austin Exploration

 

Limited

 

 

 

 

 

 

 

 

 

 

 

 

Harlan Tarter Mineral Lease

  • Wells currently held - 3
  • Wells currently producing Gas - TBD when plant is back online
  • Wells currently producing Oil - 2
  • Connected to the Atmos Gas gathering Plant - N
  • Total acreage available - 130
  • Available new drilling opportunities - >20
  • Latitude 37°09' 21.30'
  • Longitude 86° 11' 21.90"

Pay Zones Present in the Well Log

  • New Albany Shale
  • Corniferous
  • Forte Payne

 

Oil Well Completion Summary

Harlin Tarter #1 Represents Fourth Successful Oil Well Completion in a Row
Park City Daily Flow on Pump Increases to 82 Barrels Per Day
Phase Two Drilling Program Being Prepared
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The board of Austin Exploration Limited (ASX: "AKK") is pleased to announce that its Park City, Kentucky, USA oil and gas well completion program has now reached a cumulative oil flow to storage in excess of 82 barrels per day. Four wells have been successfully tested on pump representing a 100% success rate for this phase 1 SRS completion test program.

The Harlin Tarter #1 represents the fourth well of the previously announced four-well completion program. The well was tested on pump on Saturday the 29th August 2009. The well has now completed its first 24 hour on-pump test at a rate exceeding 29 barrels per day.  Prior to the testing procedure 22 additional barrels of oil were removed from the well-bore, added to cumulative storage and sold to the local refinery on August 26th.

Low cost, long life drilling – Austin is very encouraged by the initial results of the first four completed wells utilizing the Short Radius Stimulation (SRS) procedure. Based on current economic analysis, the Company can now complete a well at costs that are low enough to return initial investment capital in less than 4 months. The long life potential of these corniferous wells also makes them economically attractive. 

Phase two drilling program being prepared – With the success of these first four test wells the company can now move forward with plans to increase the rate of drilling and completions.  The company geologist, KOS Energy and other technical resources available to Austin will use the month of September to develop and finalize the 12 month plan for this area of Kentucky.

GENERAL OBSERVATIONS

    The highlighted area to the left represents the current focus for the company
    • This focus area contains hundreds of wells that were drilled many years ago and represent SRS completion opportunities for Austin.
    • Shallow well corniferous oil production has been active in the state since the mid 1800’s
    • The first large oil field was discovered in 1919 and continues to produce oil today
    • The states oil producing formations are well known for production lifetimes that can last more than 20 years with little to no remediation
    • Ten mineral leases totaling 857.82 acres are currently held by the company, cumulatively providing over two years of drilling opportunities if desired


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