PLANO, TX--(Marketwired - November 07, 2013) - Torchlight Energy Resources, Inc.
(OTCQB: TRCH) ("Torchlight Energy" or "the Company") today provided an update regarding the operations in its Hunton play located in central Oklahoma. The Company's Hunton assets are operated by Husky Ventures Inc. ("Husky" or "the Operator") which is now a top 15 oil producer in the State of Oklahoma and is expected to be top 10 producer by the end of the first quarter of 2014.
The Company's Boeckman 1-14H well is currently maintaining an average of 175 BOPD and 700 MCF of gas per day and has grossed more than $2 million in total well revenue over the first 90 days of production. Torchlight has ownership in an additional 6 wells at different stages of drilling and completion in the Hunton play with another 2 locations yet to be drilled and planned to be spudded this quarter. The newest producing well was put into production 3 weeks ago and is producing 733 BOPD with 669 MCF per day in gas. Production continues to increase as the well is cleaned up. Wells are expected to take approximately 60 to 70 days to reach optimal production before a normal decline commences.
The next well in this region is currently being fracked and should be in production by mid November. This well is an immediate offset to the over 1,000 BOPD producing well, which is Husky Ventures' biggest Hunton producer to date. Drilling of another new well has just been completed and the rig is currently being moved off with imaging data being processed. A frac procedure is scheduled to be performed in November and this well should be in brought into production by early December. Additionally there are three new wells currently being drilled on Torchlight's acreage with Husky and two more locations have been staked for this year.
"We are extremely encouraged by the results we are seeing from our Oklahoma assets," commented Willard G. McAndrew, III, Torchlight's COO. "With marked success on our first wells in the Hunton play and Husky as our operating partner, we are confident that the aggressive drilling schedule planned for the coming months will provide the growth of production that our company set out to accomplish. The science behind the techniques being employed by Husky are a direct result of their experience and investment of time and capital here. We appreciate being involved in these projects and are reaping the rewards of our relationship."
Torchlight's is expecting to participate in 7-8 new wells per quarter in 2014 as the operator accelerates to a 4-rig drilling program starting in the first quarter of 2014. This activity should add an additional 28 to 30 Hunton wells in 2014 at an average cost per well between $4.3MM and $4.9MM gross. These horizontal wells are expected to be drilled to a total measured depth of over 12,500 feet including over 4,000 feet of lateral section. Torchlight owns 15% Working Interest across the projects, however, the actual interest on a per well basis may range from a low of .5% to a high of 20% depending on forced pooling and non-consent partners.
About Torchlight Energy
Torchlight Energy Resources, Inc. (OTCQB: TRCH), based in Plano, Texas, is a high growth oil and gas Exploration and Production (E&P) company with a primary focus on acquisition and development of highly profitable domestic oil fields. The company currently holds interests in Texas, Kansas and Oklahoma where their targets are established plays such as the Eagle Ford Shale, Mississippi Limestone and Hunton Limestone trends. For additional information on the company, please visit www.torchlightenergy.com.
The information contained in this news release, other than historical information, consists of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Such forward-looking statements involve known and unknown risks and uncertainties, including risks associated with Torchlight Energy's ability to obtain additional capital in the future to fund planned expansion, the demand for oil and natural gas, general economic factors, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. The company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
(November 7, 2013 - 8:00 AM EST)
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