Mississippi Lime Acreage Increase in Kansas
Sydney, April 5, 2012 AEST (ABN Newswire) - AusTex Oil Limited (
ASX:AOK) (OTCQX:ATXDY) is pleased to advise the following update on operations in Kansas. AusTex Oil and Castle Resources Inc., as operator, are working interest partners under a Joint Operating Agreement in oil and gas leases in Sheridan and Thomas Counties, Kansas.
Colby Project - 15,500 acres
Thomas County - Kansas
AOK 70% Working Interest 58.8% Net Revenue Interest
As previously announced on 6 January 2012, AOK acquired 70% working interest in 8,100 acres. The Company has now finalised leasing an additional 7,400 acres with a total of 15,500 acres now under new primary term leases. Historical drilling in the area has confirmed the presence of the Lansing-Kansas City, Mississippi Lime and Arbuckle Lime formations.
AOK now holds 22,500 net acres in the Miss Lime defined area of interest.
Background
Over recent months, the area of interest identified in the Mississippi Lime play has been extended by other operators to include North West Kansas. Sandridge Energy (NYSE:SD) recently released a technical presentation on the Mississippi Lime Area of Interest which covers 14 million acres in Kansas and Oklahoma. This area of interest encompasses AOK's Snake River, Colby and Cooper Projects held by AOK. Leasing and exploration activity in Thomas and Sheridan Counties is at an all time high with lease pricing increasing monthly.
This additional Mississippi Lime acreage provides AOK share holders with significantly more value given the recent production success AOK has had in the Mississippi Lime formations in Northern Oklahoma.
The next 12 months will be a very busy and exciting time for all stake holders in AOK, and we look forward to reporting staged developments as drilling and completion work continues.
For the full announcement including charts, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-AOK-674135.pdf
About AusTex Oil Limited
AusTex Oil Limited (ASX:AOK) (OTCQX:ATXDY) is a Public Company listed on the Australian Securities Exchange (ASX) and the OTCQX.
AusTex is focused on exploration and development of oil and gas leases in the USA. The company produces oil and gas in Oklahoma and Kansas and is currently developing producing leases in both states with interests in 11,600 net acres of oil and gas leases in the Mississippi Lime Play. The Company has net production of circa 800 boe/day with Independent 1P reserves certified at 3.505 Million BOE with NPV10 of US34.8 million as at 31 December 2015.
US operations are based in Tulsa, Oklahoma, with an office at 1801 East 71st Street. International Energy Corporation (Oklahoma) is a wholly owned subsidiary and a licensed oil and gas operator in Oklahoma and Kansas.
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