Date: Wed, 19 Nov 1997 23:55:52 GMT Server: Apache/1.1.1 Content-type: text/html Content-length: 4795 Last-modified: Wed, 09 Jul 1997 15:34:00 GMT
PINE CREEK EXPLORATION AREA
In late 1996, we drilled a well in Pine Valley that encountered numerous good oil shows. Oil was recovered on drill stem tests from the Pine Creek #1-7, and casing was run to evaluate the various show zones. While oil was tested from several zones, the high water cut made production uneconomic. However, based on the well logs and 2D seismic data, productive locations may exist nearby. In order to further refine these potential drilling locations as well as identify other exploratory drilling targets, the partners in the Pine Creek well have approved a 16.75 square mile 3D seismic acquisition program. Surveying, archaeology, and permitting have been completed and shooting is expected to begin by the third quarter of 1997. An integrated interpretation of the 3D seismic data and well data will be made by Foreland personnel. Foreland has a 56.25% working interest in this project.
This project will be our first use of 3D seismic solely for exploratory purposes. By combining the results from the Pine Creek #1-7 well with the 3D seismic, we anticipate several drilling locations will be identified on the Pine Creek structure. In addition, based on our 2D seismic data base, we expect that a number of other exploratory prospects will also be defined within the area of the 3D seismic program. This project, which is located between three producing fields in Pine Valley, is currently the most exciting exploration opportunity in Nevada.
OTHER EXPLORATION OPPORTUNITIES
With approximately 175,000 gross acres under lease, the Company always has several ongoing exploration projects at various stages of development.
Foremost among the exploration projects is the Hay Ranch 3D seismic exploration program in Pine Valley, just north of the Pine Creek survey area. The Hay Ranch area includes several wells with excellent oil shows, a number of 2D seismic defined exploration leads, and our North Willow Creek field. This 37 square mile 3D seismic and drilling program will not only be used to identify specific exploratory drilling locations, but will provide a state-of-the-art development tool for North Willow Creek field. The Hay Ranch area abuts our Pine Creek 3D survey and the two combined will provide a subsurface image of over 50 square miles in one of the most prospective valleys in the state.
We also have ongoing exploration projects in Huntington Valley, including the North Humboldt and Dixie Flats prospects. We are currently evaluating the use of 3D seismic in these areas prior to further drilling. With world class source and reservoir rocks, these prospects have among the largest reserve potentials in Nevada.
Foreland Corporation - Copyright © 1997