Chisholm Trail Operations Update

RNS Number : 7378A

Nostra Terra Oil & Gas Company PLC

24 February 2014

 



AIM: NTOG

24 February 2014

Nostra Terra Oil and Gas Company plc

("Nostra Terra" or the "Company")

Operations Update - Chisholm Trail

Nostra Terra, the AIM quoted oil and gas producer with a growing portfolio of producing assets in the USA, is pleased to provide an update on the Company's Chisholm Trail prospect in Oklahoma.

The CT9 (Mel B 1-33) well was successfully drilled to a Total Measured Depth ("TMD") of 12,045 feet, at a true vertical depth of approximately 7,300 feet with an estimated 4,200 foot lateral in the Hunton formation, and is now in production.  Nostra Terra has a 7.38% Working Interest ("WI") in this well, which is operated by Husky. Average production rates will be announced once the rate of production has stabilized.

The CT10 (Katy 21-1H) well is now permitted to drill. The well is planned to be drilled to a TMD of 12,335 feet with a lateral of approximately 4,661 feet in the Hunton formation.  Nostra Terra has a 1.87% WI in this well, which will be operated by Gastar.

The CT11 (Bugg 1-25H) well was successfully drilled to TMD of 11,800 feet, at a true vertical depth of 7,120 feet with a 4,949 foot lateral in the Hunton formation.  Hydraulic Fracturing Operations ("fraccing" or "fracking") are now underway.  Nostra Terra has a 3.55% Working Interest ("WI") in this well, which is operated by Payne Exploration.

A summary of the Company's various interests in the Chisholm Trail prospect is set out below.

Most Recent CT Wells - WIs are subject to change

Well	Well Name	Formation	Operator	Net WI	Status	10-day Average Production
CT6	Tharp 2-26H	Mississippian	Alta Mesa	TBD	On hold	-
CT7	LSEPMU 7-3H	Mississippian	Hinkle	1.60%	Producing	194
CT8	Jones 1-5H	Hunton	Stephens	2.92%	Producing	521
CT9	Mel B 1-33H	Hunton	Husky	7.375%	Producing	(TBA)
CT10	Katy 21-1H	Hunton	Gastar	1.875%	Permitted	-
CT11	Bugg 1-25H	Hunton	Payne	3.55%	Fraccing	-
CT12	Oswald 1-27H	Mississippian	Alta Mesa	0.80%	Permitting	-
CT13	Foster 31-1H	Hunton	Gastar	2.00%	Permitting	-
CT14	Gant 1-22H	Hunton	Ward	20.00%	Permitting	-

Additional wells are being planned and permitted by a number of operators in Chisholm Trail.  Nostra Terra will update shareholders of its participation in these wells once elections are made.

Matt Lofgran, Chief Executive Officer of Nostra Terra, commented:

"Since we first started in the Chisholm Trail Prospect just over a year ago, investment in the area has gone from strength to strength.  This gives Nostra Terra plenty of opportunities to increase its portfolio in the area still further this year.

We anticipate that the production from these wells will be a nice addition to our cash flow.  We'll continue to reinvest those funds as quickly and prudently as possible to broaden our portfolio further."

For further information, visit www.ntog.co.uk or contact:

Nostra Terra Oil and Gas Company plc

Matt Lofgran, CEO

[e-mail]                                               Telephone: [phone]

Shore Capital & Corporate Limited (Nominated Adviser) 

Bidhi Bhoma / Toby Gibbs                                       Telephone: [phone]

Hume Capital Securities plc (Broker)                             

Jon Belliss / Abigail Wayne                                     Telephone: [phone]

Lothbury Financial Services Limited

Gary Middleton / Michael Padley                            Telephone: [phone]

 

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