Empyrean Regulatory News (EME)

23 Jun 2008 07:07



Empyrean Energy PLC 

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

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

New horizontal well planned for Block B - the Kowalik #1H well

The Kennedy 1H well to be fracture stimulated with a much larger stimulation

Empyrean, the AIM listed oil and gas explorer and producer with assets in Germany and USA today announces the following:

Kowalik #1H 

Empyrean has been advised by Texas Crude Energy Incorporated ("TCEI"), the operator of Block B on the Sugarkane Gas and Condensate field, of the proposal to drill the Kowalik #1H well. The well will spud as soon as the rig completes operations on another well and is mobilized to site, possibly by mid July. The well is engineered to take advantage of the knowledge gained from the work carried out to date within the field and an analogous offset field in the region. It will target the upper pay interval that has successfully produced gas and condensate in the TCEI JV Block A-1 and A-3 wells. The well is planned to have a 6,000ft horizontal section.

Empyrean will have an 18% working interest in this well.

Kennedy #1H

Empyrean has been advised by TCEI that preparations are underway to re-stimulate the deepest 800ft of the horizontal section of the Kennedy #1H well. The fracture operations previously reported by Empyrean in May 2008, have been partially successful. Although stable production of minor gas volumes and 40 bbls per day condensate were achieved, it is believed that the well would benefit from a larger fracture stimulation with a modified design. TCEI will add perforations as well as using a much larger stimulation with higher strength proppant.

As previously reported, the Kennedy #1H is believed to be located in the middle interval of the reservoir, which has not previously been fully tested. Empyrean is encouraged by the demonstrable productivity and looks forward to the results of the second stimulation. Subject to equipment availability, TCEI have advised that this work could start within the next 14 days.

Empyrean has an 18% working interest in this well.

Further releases will be made as appropriate.

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 

Rod Venables / Cecil Jordaan 

HB Corporate 

Tel: +44(0) 207 510 8600 

Jonathan Charles / Ed Portman 

Conduit PR 

Tel: +44 (0) 207 429 6611 / +44 (0) 7791 892 509