MIDLAND, TX--(Marketwired - June 16, 2014) - Arabella Exploration, Inc. (OTCQB: AXPLF) ("Arabella" or the "Company"), an oil and gas E&P company focused on the Southern Delaware portion of the Permian Basin, today announced that it has successfully brought its Emily Bell #1H well into production.
On May 11, 2014 the Company completed fracing the Emily Bell #1H and the well began flowing back on May 19, 2014. The well began initial production on June 2, 2014 and reached a peak initial production rate of over 1,100 BOE/Day. Since its peak production the well has averaged over 600 BOE/Day for the first twelve days without the assistance of any artificial lift and with only approximately 9% of the frac water load recovered. This is Arabella's seventh well and the first on its Emily Bell tract, where it holds an approximately 52% working interest.
"We are very pleased with the results from our Emily Bell #1H," stated Jason Hoisager, CEO of Arabella. "We believe that the initial and sustained production we are seeing is indicative if the type of results possible in the Wolfbone play. In addition to the financial returns that this new production will bring, we are pleased that this well is in line with our ongoing efforts to bring down drilling costs."
Arabella hired SDS Petroleum Consultants, L.L.C. (www.sdspetroleumconsultants.com) ("SDS"), an oilfield drilling consulting company, to assist with the drilling of the Emily Bell #1H and Woods #2H well with the goal of reducing costs and improving production results. After an average cost to drill of $4.4 million for each of the two wells -- as opposed to an average of $5.9 million for the Jackson #1H and Woods #1H prior to SDS being retained -- the Company believes that both the Emily Bell #1H and Woods #2H will be completed under AFE. As a result, Arabella has signed SDS to a contract to drill its future wells.
In addition, Arabella today announced that Chad D. Elliott has resigned from his position as Chief Operating Officer of the Company.
About Arabella Exploration
Arabella Exploration, Inc. (OTCQB: AXPLF) is an independent oil and natural gas company focused on the acquisition, development and exploration of unconventional, long life, onshore oil and natural gas reserves in the Southern Delaware Basin in West Texas. The Company has an experienced management team with experience drilling multi-lateral wells and is primarily focused on the formations that the industry refers to as the Wolfbone play, which includes the Wolfcamp and Bone Spring shales. The Wolfbone play is characterized by high oil content and liquids rich natural gas, multiple vertical and horizontal target horizons, extensive production history, long-lived reserves and high drilling success rates.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Statements preceded or followed by or that otherwise include the words "believes," "expects," "anticipates," "intends," "projects," "estimates," "plans," and similar expressions or future or conditional verbs such as "will", "should", "would", "may" and "could" are generally forward-looking in nature and not historical facts. Forward-looking statements in this release also include statements about business and economic trends. Investors should also consider the areas of risk described under the heading "Forward Looking Statements" and those factors captioned as "Risk Factors" in the Company's periodic reports under the Securities Exchange Act of 1934, as amended, or in connection with any forward-looking statements that may be made by the Company.
The Company also disclaims any duty to comment upon or correct information that may be contained in reports published by the investment community.
Source: Marketwired (Canada)
(June 16, 2014 - 8:01 AM EDT)
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