ONGC Videsh Seeks Producing Assets In Politically Stable Countries

- ONGC Videsh Seeks Producing Assets In Politically Stable Countries

Tuesday, August 30, 2011
Dow Jones Newswires
NEW DELHI
by Rakesh Sharma

Oil & Natural Gas Corp. (500312.BY) is seeking producing assets in politically stable countries as it seeks to cut its geographical risks, the head of the Indian explorer's overseas investment unit said Tuesday.

"We have investments in many risky countries. We would be diversifying to more stable countries like North America," Joeman Thomas, managing director of ONGC Videsh Ltd., told reporters on the sidelines of a news conference.

The social and political upheaval in the Middle East and North Africa has drastically raised the risk profile of some prolific international basins that hold substantial hydrocarbon reserves, impacting investment plans of global oil and gas explorers, ONGC said in its annual report earlier this month.

OVL holds stakes in exploration blocks in places like Libya, Syria and Sudan, which have been hit by political unrest.

Thomas said the decision on re-adjusting the portfolio was taken about two years ago. He added that the company aims to acquire producing properties over the next two to three years as it has a mandate to source 20 million tons, or 400,000 barrels a day, of crude from overseas assets by 2020.

OVL expects its share of output from overseas assets at 8.75 million tons in the current financial year through March 2012, he said.

In March this year, India's top auditor had criticized OVL over its investments and joint ventures overseas saying that the explorer wasn't able to mitigate risks and leverage the benefits from the financial strength and expertise of the joint venture partners. The auditor said that OVL needed to improve its core competence in the evaluation of investment opportunities.

Copyright (c) 2011 Dow Jones & Company, Inc.

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Lexaria Purchases Producing Oil Assets in Mississippi

- Lexaria Purchases Producing Oil Assets in Mississippi

Friday, August 12, 2011
Lexaria Corp.

Lexaria has acquired certain producing oil assets within its core operating area in Wilkinson County, Mississippi.

Lexaria has purchased all of the 10% gross working interest held by Brinx Resources Ltd, in the Belmont Lake Oil Field and in other oil and gas assets in the area. As a result of this acquisition, Lexaria now owns between 42% and 50% gross working interest in the four producing oil wells at Belmont Lake, and 42% in any future development wells to be drilled therein. At the current time, plans are to drill two more PUD development wells at Belmont Lake this season, subject to a number of conditions.

Basic terms for the acquisition of the 10% gross working interest in the Belmont Lake Oil Field and assorted other nearby oil and gas assets, are a purchase price of $400,000 of which $200,000 is paid, and another $200,000 payment is due by November 12, 2011; and the issuance of 800,000 shares of restricted common stock of Lexaria Corp.

"This acquisition will produce an immediate increase in our oil revenue, and an increase in our proved oil reserves," said Chris Bunka, President of Lexaria Corp. "It is sensible for us to increase our ownership in the Belmont Lake oil field where we have built a wealth of knowledge and experience in recent years, as we prepare to leverage that knowledge."

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Iran's Southern Regions Producing 3 Million Barrels of Oil Per Day

- Iran's Southern Regions Producing 3 Million Barrels of Oil Per Day

Thursday, July 21, 2011
OilPrice.com
by Charles Kennedy

Iran is currently the second largest oil exporter in the Organization of Petroleum Exporting Countries (OPEC), exceeded only by Saudi Arabia.

According to National Iranian South Oil Company executive director Hormoz Qalavand, "From the beginning of the current year (starting March 21, 2011, according to the Iranian calendar) until now, an average of about 3 million barrels per day of crude oil has been produced within the operational scope of the company, which is equivalent to 99.98 percent of the plan set by the National Iranian Oil Company," Donya-e Eqtesad newspaper reported.

Qalavand observed, "according to the plan, through the installation and operation of the pumps inside the wells and the drilling of the new wells, the groundwork and mechanisms for which have been prepared, we will be able to achieve a level of production beyond that in the plan projected through the end of the current year." Regarding increasing production from Masjed Soleyman oil field Qalavand noted, "Through the complete inauguration of the development project of this oil field, which is in the experimental launch phase, the oil production capacity in the oil-rich regions of the south will increase to 25,000 barrels per day. The production of oil from the reserves of this company is carried out based on the principle of protecting the reservoirs, and this matter is considered as the main strategy for the oil-rich regions."

(Charles Kennedy is Deputy Editor of OilPrice.com. The original article is here.)

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Xtreme O&G Acquires Stake in Producing Well

Xtreme O&G Acquires Stake in Producing Well

Wednesday, April 27, 2011

Xtreme O&G Inc.

Xtreme O&G has acquired a minor working interest in a well producing initially over 400 barrels of oil per day and over 950,000 cubic feet of gas per day. Xtreme agreed to purchase the working interest for 15,000 shares of restricted common stock from one of its partners, further strengthening their relationship.

This newest project verifies their recent geologic studies in the area and they expect this well to produce 200,000 barrels of oil and 500 Million cubic feet of gas during its lifetime. Xtreme and its partners will continue to seek additional working interest and to participate in leasing acreage in the area to continue to exploit these resources.

Willard G. McAndrew III, CEO of Xtreme, commented, "This acquisition represents another step in our expending relationships and gives us a new series of leases to explore in what we hope to be a prolific formation that responds well to today's drilling and recovery technologies."

Treaty Purchases 2 Producing Leases in Tx.

Treaty Purchases 2 Producing Leases in Tx.

Wednesday, April 20, 2011
Treaty Energy Corp.

Treaty Energy has acquired two additional leases in Texas, the SHOTWELL W. F. and the SHOTWELL "C" leases.

Treaty indicated that production on these leases is currently 4.18 barrels of oil per day. These leases require no work over and were purchased for their current production value, but more important to Treaty Energy is the additional 30 virgin well drilling sites which will be added to the list of wells that Treaty's new Failing 1500 CF Drilling Rig will start drilling when permits are granted to do so. Private financing to fund the drilling had been arranged prior to the acquisition of the Failing Drilling Rig.

Stephen L. York, Treaty Energy's Vice President of Acquisitions and Operations, stated, "These leases are two of the most advanced small leases in the Country. Scientific evaluations have been done as an experiment to see what can be achieved with a maximum effort and scientific approach. Fluid levels have been 'shot,' water flooding plains logged, and geology available."

Mr. York stated further, "The upside to this acquisition is that Treaty now has an additional 138 acres to drill on, which represents 30 or more virgin well sites."

Treaty Energy's CEO and Chairman, Andrew V. Reid, stated, "I am very pleased with the progress Steve is making on the development of Treaty Energy's rapidly growing base of leases and production of oil in Texas."

Treaty indicated that it will follow with an SEC Form 8-K on a timely basis, which will include all aspects of this purchase.

Lexaria: 4 Wells Producing at Belmont Lake Field

Lexaria: 4 Wells Producing at Belmont Lake Field

Thursday, March 31, 2011

Lexaria Corp.

Lexaria announced that for the first time, there are now up to four producing oil wells at the Belmont Lake oil field, and a salt-water disposal well that is connected and operational. The necessary work was completed despite challenging field conditions prior to the seasonal rise in Mississippi River water levels. Some residual infrastructure work will be completed during the next dry season.

The Belmont Lake oil field has now produced over 100,000 barrels of oil.

Lexaria has drilled both oil and gas wells in the region since 2005, concentrating on shallow geologic horizons that are less expensive to exploit than deeper targets. There are a number of geologic target zones from the shallowest all the way to the Tuscaloosa Marine Shale. A 1996 Louisiana State University study estimates that 7 Billion recoverable barrels of oil may exist in this oil shale that in some regions is 400-800 feet thick.

Lexaria holds an option to drill up to 38 exploration wells on roughly 130,000 acres of land in the region, in which it holds a 60% interest. Shallow fields are of primary interest to the Company, in part, because of the history of this region. Some of the shallow oil fields in the area produced by others include:

• 593,000 barrels produced at Ashwood Field
• 730,000 barrels produced at Stamps Field
• 55,000,000 barrels produced at Little Creek Field
• 1,412,000 barrels produced at Freedom field

Lexaria currently holds a 40% gross working interest in the PP-F12-4 and PP-F12-5 directional wells, and a 32% interest in the PP-F12 and PP-F12-3 wells. It holds a minimum 32% interest with the potential for higher interests, in any additional development wells to be drilled at Belmont Lake.

Titan Acquires Interest in Petrobakken-Operated Wells

Titan Acquires Interest in Petrobakken-Operated Wells

Tuesday, March 29, 2011
Titan O&G Inc.

Titan has acquired an interest in five producing oil wells operated by Petrobakken.
The wells are located on 800 acres of land approximately 80 miles northwest of Edmonton in the Leaman area. Current gross production is approximately 60 barrels of oil a day and there is potential for another well to be drilled in the future.

"We are very pleased to have achieved our goal of becoming a producing oil company," said Jarnail Dhaddey, President of Titan. "We are also very pleased to be associating with industry leaders and look forward to using these relationships to build Titan's producing resource base and to enhance shareholder value in the coming months."