All,
It's been quite some time since my last post. We've been
busy in the intervening months streamlining and improving our field operations
as well as preparing for another leg of growth in our E&P business. There's
a lot to discuss, so let's jump right in.
We have completed and tested the Leonard #2 and #3 wells
with good results. The two wells tested at a combined 14 barrels of oil per
day, which is well above our targeted average for the area. The economics on
these wells are excellent, mainly because of the low drilling and production
costs. We intend to continue to deploy capital on this program which should
significantly improve our cash flow.
As I mentioned above, we've made improvements to our field
operations, primarily in the area of personnel. We've upgraded the quality of
the team and reduced headcount. Additionally, we have tweaked our production
methods which has improved lease productivity, especially for the more mature
wells. This consumed quite a bit of time over the summer, but I am very happy
with our new field team and have confidence that we will continue to see
measurable improvements in the coming weeks and months.
Some of you may be wondering why I haven't been posting
recently. Frankly, I wasn't certain anyone was listening. Of course we continued
our SEC reporting, but I wasn't sure the color that I try to provide through
the blog was adding value for anyone. After hearing from some of you and
reading some of the feedback on various sites, I can see that I was wrong. So
from here on out I'll provide regular updates through this blog. We'll continue
to do press releases for big items, but if you want to keep up with our
progress in more detail then check back here regularly.
Speaking of communication, you may have noticed from our
filings that we've retained RKM Capital to increase awareness of our Company
and the progress we're making. You can find their latest promotional materials
here.
I hope this has been helpful. As I mentioned above, we're
moving into a new growth phase. Keep an eye out for updates and make sure to
check back here on a regular basis. Have a good weekend and Roll Tide!
Best,
-Shannon
No comments:
Post a Comment