Offset Well - to be drilled on Stockton near Mitchell 4
As illustrated earlier, I spent Saturday looking at our leases in Tuscola and Cisco. I think it's important for us to focus on moving forward and just keep looking at what is directly in front of us.
I counted 5 pump jacks going on the Mitchell lease, two of which are ours. This tells me that there's a very good formation under that land and guess what, it extends beyond the fence lines and roads. If this lease can support 5 pump jacks then what about the areas around it like the Stockton, which is right next to it, and the Standard right across the street?
The offset well announced in the Friday press release has me excited because they are looking at an area less than 500 feet away from Mitchell 4. To me this sounds like we are sticking another straw in a proven punch bowl, so I like the odds of this one working out.
" Treaty Energy will drill an offset well from the Mitchell #4 well on the Stockton lease. The Stockton lease is the lease adjacent to the Mitchell lease. Treaty Energy believes that this offset drilling project will be as successful as the Mitchell #4 well, which has produced approximately 800 barrels of oil since it was drilled on June 6, 2013. As announced on June 17, 2013, the Mitchell #4 well is producing 45-50 BOPD."
Enclosed are some pictures to illustrate just how close the offset well is to our last well. This has me optimistic about hitting my July 7 cent target, and if the company can just keep getting base hits in Tuscola we should be more than cashflow positive and north of 10 cents a share.
In the picture below you will see Bull and Mitchell 4. Directly behind me 180 degrees and 2 feet away is the fence line between Stockton and Mitchell.
[IMG]http://i.imgur.com/5weMTWa.jpg[/IMG]
In this picture I basically turned around from the photo above of Mitchell 4 and took a picture of the target offset well area on the Stockton lease. Bull pointed out the area for me and I think I have it down approximately to where he staked it the day before. I like our odds on this being another successful well which should be yet another pounding into the skulls of the bad news bears.
[IMG]http://i.imgur.com/wetTQHB.jpg[/IMG]
