31 Dec 2014 07:00
Rose Petroleum plc (AIM: ROSE)
("Rose" or the "Company")
Completion Status Up-Date on State 16-42 Paradox Well
Rose Petroleum plc, the AIM-listed (Ticker: ROSE) natural resources company, is pleased to announce that following on from the commencement of operations announcement on 17 December 2014, its wholly owned subsidiary, Rose Petroleum (Utah) LLC, has perforated the first interval of a planned seven interval programme, covering a total of 19 individual potential pay zones in the State 16-42 Paradox well in the Gunnison Valley Federal Unit in Grand County, Utah.
Per the operational plan for the well, each interval, consisting of one or more zones, will be perforated separately and then isolated with retrievable bridge plugs. Once all of the intervals have been perforated and the individual data collected, the retrievable bridge plugs will be removed and the collective intervals will be tested together. The entire completion process for the well is estimated to take the majority of Q1 2015 to finalize, which is in line with our original time table.
Rose owns nearly 80,000 gross acres in the Paradox and over 245,000 acres collectively between the Paradox and the adjacent Uinta Basin Mancos play.
John Blair, Director of Oil & Gas, commented: "One of the primary goals of the completion of the 16-42 vertical well is to collect as much reservoir data as possible from each interval. The completion process on all the intervals should be finalised by end of Q1 2015. The reservoir data collected will greatly aid Rose in the planning and design of its first horizontal Paradox well which is scheduled for the Q3 of 2016 after the 3-D seismic survey has been shot and interpreted. The 3-D seismic survey is currently being permitted and shooting is planned to begin in late Q3 or early Q4 of 2015. Using the 3D seismic data, a location will then be selected for a horizontal well and the well permitting process will take approximately six months. The completion of the 16-42 vertical well will also help Rose achieve its goal of increasing production and reserves in 2015."
For further information, please contact:
Rose Petroleum plc Matthew Idiens, CEO
| +44 (0) 20 3697 1209 |
Allenby Capital (Nominated Adviser & Broker) Jeremy Porter / Alex Price | +44 (0) 20 3328 5656 |
Lionsgate Communications (Public Relations) Jonathan Charles / Lynn Carratt | +44 (0) 20 3697 1209 |
About Rose Petroleum
Rose Petroleum plc (AIM Ticker: ROSE) is focusing on developing its oil & gas portfolio, while seeking to create value from its existing mining portfolio.
In March 2014, Rose signed a farm-in agreement under which its newly formed subsidiary, Rose Petroleum (Utah) LLC, can earn 75% of certain oil, gas and hydrocarbon leases covering approximately 230,000 acres in Grand and Emery Counties, Utah, USA, within the Paradox and Uinta basins.
In May 2014, Rose published the results of its reserve report prepared by Ryder Scott Company on the Mancos and Paradox Oil & Gas Projects. Unrisked Prospective (Recoverable) Hydrocarbon Resources on a Best Case (P50 equivalent) basis for the collective total Mancos Shale and Paradox Formation combined was 1,452.86 MMBO (million barrels of oil) and 4,791.85 BCFG (billion cubic feet of gas).
In June 2014, the Company successfully raised £6.5m by way of an oversubscribed conditional placing and subscription to develop the Mancos and Paradox assets in Eastern Utah, and the completion of a further £3.5m fundraise was announced on 5 December 2014.
In October 2014, Rose acquired 100% of the assets of a privately owned SEP - Cisco Dome, LLC and various other associated entities for US$1.5 million in cash. The acquired assets included 11,000.02 gross / 8,250.02 net acres of highly prospective Mancos acreage, a gas compression station and gas processing plant as well as 17 producing wells and 35 shut-in wells.
Management intends to build on these projects to establish a balanced international asset portfolio. For further information please consult the Company's website: www.rosepetroleum.com