Empyrean Energy

Web site : http://www.empyreanenergy.com

ARQ qtrly dtd 31 Jul:-

CORPORATE REVIEW
Adelphi Energy (ARC 32%)
During the quarter a light sand fracture stimulation programme
(frac), over a 600 feet interval in the Kennedy-1H well in the
Sugarloaf area in the Austin Chalk, gave a stabilized condensate
flow of approximately 40 barrels per day with minor gas. A
second frac over the same interval was carried out in an attempt
to improve this flow. Initial flows commenced at 0.4mmcfgpd and
106 bcpd but declined to approx 35bcpd over a period of five
days. The well continues to be monitored.
The next Austin Chalk well in the Sugarloaf area is called Kowalik-
1H and spudded on 18 July 2008.This is the first in a continuous
sequence of up to 4 horizontal wells designed to test the
productive upper part of the Chalk, a zone which has yet to be
tested in the Sugarloaf area.
On 15 July 2008 Adelphi announced a one for six nonrenounceable
rights issue to existing shareholders at 32 cents per
share to raise approximately $5.7 million. The offer opens on 24
July 2008 and closes on 8 August 2008. ARC Energy has
committed to taking up its full pro-rata entitlement in relation to
its 32% shareholding.


http://www.arcenergy.com.au/files/quarterly/ASX%20-%20Quarterly%20Report%20ending%2030%20June%202008.pdf
cyril

RNS Number : 3019A
Empyrean Energy PLC
31 July 2008



31 July 2008

Empyrean Energy PLC

('Empyrean' or the 'Company'; Ticker: (EME))

Sugarloaf Prospect, ('Sugarloaf'), Block B, Texas USA







Empyrean Energy Plc, the oil and gas explorer and producer with assets in Germany and the USA provides the following update on operations on Block B which is part of the Sugarkane Gas and Condensate Field:




Kowalik #1H Well



Empyrean has been advised by the Operator of the Sugarloaf AMI, Texas Crude Energy Inc ('TCEI'), that as of 06:00hrs 30/07/08 (US CST) the Kowalik #1H well had reached a depth of 6126ft in the 8 ' hole section and was drilling ahead. Since the last operational update the 13 3/8' and 9 5/8' casing have both been run and cemented, with the latter at a depth of 6,020 ft.




This vertical section of the well will be drilled as a pilot hole down to approximately 11,970 ft through the chalk. This will then be logged, plugged back and the well sidetracked in the 8 ' hole siz

RNS Number : 3019A
Empyrean Energy PLC
31 July 2008



31 July 2008

Empyrean Energy PLC

('Empyrean' or the 'Company'; Ticker: (EME))

Sugarloaf Prospect, ('Sugarloaf'), Block B, Texas USA







Empyrean Energy Plc, the oil and gas explorer and producer with assets in Germany and the USA provides the following update on operations on Block B which is part of the Sugarkane Gas and Condensate Field:




Kowalik #1H Well



Empyrean has been advised by the Operator of the Sugarloaf AMI, Texas Crude Energy Inc ('TCEI'), that as of 06:00hrs 30/07/08 (US CST) the Kowalik #1H well had reached a depth of 6126ft in the 8 ' hole section and was drilling ahead. Since the last operational update the 13 3/8' and 9 5/8' casing have both been run and cemented, with the latter at a depth of 6,020 ft.




This vertical section of the well will be drilled as a pilot hole down to approximately 11,970 ft through the chalk. This will then be logged, plugged back and the well sidetracked in the 8 ' hole size to the top of the chalk before 7' casing is run prior to drilling the horizontal section. The well is planned to have a 6,000ft horizontal section and is targeting the upper pay interval that has successfully produced gas and condensate in Block A (TCEI JV Block A1 and A3 wells). The Joint Venture is working towards this being the first in a continuous sequence of 4 wells.




Kennedy #1H Well




Empyrean has been advised by TCEI that following fracture stimulation operations, which took place on Thursday 3rd July and subsequent clean out operations, the well has continued to flow at 30 - 40 bbls of condensate per day with associated gas and minor volumes of fracture fluid. Over 5,000 bbls of fracture fluids have not been recovered from the most recent stimulation. The present production rates originate from 17ft of perforations in the bottom 600 ft of the horizontal section.




This well was drilled horizontally within the deeper section (potential 'middle pay zone') of the Austin Chalk accessing a chalk horizon not previously tested within the Sugarkane Field. Whilst the gas and condensate flow rates are minor at this juncture the production represents the first sustained hydrocarbon flow from this deeper horizon indicating additional hydrocarbon recoverability above the already considerable resource estimates associated with the upper chalk horizons. The Operator proposes to place this well on long term test to allow for possible further clean up and to monitor flow performance. It is not expected that additional operations will be undertaken at Kennedy #1H until Q1 2009.







About the Sugarkane Gas and Condensate Field




The Sugarkane Field is a unique Austin Chalk Formation play that lies some 20km south of the main Texas Austin Chalk trend. In the early stages of appraisal the field is exhibiting many characteristics superior to the classic Austin Chalk fields such as the nearby Giddings and Pearsall fields that have produced over 5 Tcf of gas and 600 mmbbls oil. Notably, the Sugarkane Field is over pressured, has a higher porosity and a higher condensate to gas ratio than the classic Austin Chalk fields.




The Sugarkane Field is interpreted to cover an identified area exceeding 200,000 acres with potential gross reserves estimated at greater than 3 Tcf of gas and approximately 700 million barrels of condensate making it potentially one of the largest undeveloped gas and condensate fields within North America.




Further updates will be provided following developments.

The information contained in this announcement was completed and reviewed by the Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has over 40 years experience as a petroleum geologist.




For further information

Empyrean Energy plc

Tel: +44(0) 207 182 1746

cyril

Today's bad news reflected in the share price. I'm still sure that there is in no way anyone would have left a field in Texas as big as is claimed for Sugarxxxx (loaf or kane).

It doesn't make sense to me.

Sorry all.

sorry to have to keep repeatiung again and again ......... avoid companies like EME who have a bad history of flattering to deceive

if you want to trade it though, once it is sub 20p, any good news will make the sp rocket. Why anyone would want to stay in it though is beyond me, especially in these markets.

Well, Cynic,their partners' sp has not suffered so it boils down to a lousy UK market interpretation. It just means that the re-bound will be all the better when some positive news emerges - the current drilling is nearly at TD, is it not? So maybe next week there will be something to crow about.

I'ts not near TD. They've just started drilling the section from what I see.

DD .... hear, hear!

Big Al,

You are wrong 2 drills currently being undertaken both production drills not appraisal targetting zone 1 the zone where 2 commercial successes have been achieved on vertical drills.

The current wells are Kowalik Block B spudded 18 July, as at 30 July it had reached 6126 ft, target 11970 ft pilot hole then a 6000 ft horizontal, estimated 30 day drill.

The other well is Block A - 4 spudded July 4, as at 18 July it was at 9664 ft target depth is the productive upper pay zone which from memory is approx 12000 ft then a 6000 ft horizontal, my calculations including wirelining would indicate that they will be complete in 30 days, thats this Sunday.

Check your facts before posting

I've read the releases, stewart.

It clearly stated they'd (Kowalik) just drilled out the casing shoe! 11970 (TD) - 6126 ft (current depth) = 5844 ft to go. It's not near TD!!!!!! Also, they've just started rilling that section - it says as much.

I've been drilling wells for over 27 years - I know exactly what I'm talking about when it comes to this kind of thing.

BTW, production drilling does not always require a pilot hole. You could call it appraisal.

dd
i traded EME last time between 17p to 62p be great to do that again.

Wild swings on a lot of AIM stocks these days.

Big Al,

You refer to Kowalik have you forgot about Block A-4, it is very near target depth or are you disagreeing, I actually stated Kowalik would take 30 days from July 18.

" The TCEI JV Block A-4 well is designed to drill to the upper pay zone that has proven productive in the TCEI JV Block A-1 and A-3 wells and then drill approximately 6,000 ft horizontally within that zone in order to effect a lateral completion. "

The above is from the RNS that seems to me like a production well but I don't have 27 years drilling experience.

Kowalik 1H, H = horizontal, so total depth of the vertical and now into the horizontal.
So more "i" traded it at ? up to ? . I'll believe them when they tell us, not the hindsight gang, hollow words to me.
cyril

niceonecyril,

Kowalik is as above as at 30 July it is at 6126 ft, as Al says 5844 to go on the vertical before it turns horizontal.

It is Block A -4 that is approaching TD

Guys - as far as I understand it:

They're drilling a vertical pilot hole and will then plug it back to sidetrack and build it up to horizontal. It's not really clear as to whether this is a ^000 ft sidetrack (including the buildup section) or whether the 6000 ft is all horizontal.

I can't believe you lot. Sorry!

You know more about drilling than I'll ever know. Put that another way. I know nothing. But that isn't the point. If you are a long term investor then fair enough. I hope this company gives you the riches you deserve. What is clear though is you know nothing about the SM especially as it is today. We are dealing shares of the company here not the company itself. There is a huge difference. The Aim market is being slaughtered; there is a total lack of liquidation and nobody wants risky companies. I should know, I have shares in many!

To my cost I have learnt that you sell all small caps in a bear market unless day trading. End of story. The MM's don't want to know. EME comes under that category.

You can analyse it all you want but it ain't going to make the sp go up.

Could i take you back to post 1533 page 9.
Koawilik 1-H to test the upper zone, which is shown at 1700 mtrs
cyril

Dearlerdear; i agree in general but it can also give a good entry point, its just a matter of having belief in your research and a some bottle,of course getting your timing is not easy.
I bought GPX this am, at 169p is imho real good value?
cyril