Carrollton, Texas, Oct. 06, 2021 (GLOBE NEWSWIRE) -- Allied Energy Corp (OTC Pink: AGYP), an oil and gas company focused on leasing and reworking oil and gas projects in Texas, is pleased to announce that the Company has completed the acquisition of the 325 acre Prometheus Lease located in Garza County, Texas.
Our interest at the Prometheus Lease is the 28 Unit Well 1H, which was producing approximately 200 barrels of oil per day and 300,000 cubic feet of natural gas per day as recently as 2016.
CEO George Montieth commented on the acquisition: "There are multiple wells included in the Prometheus Lease, one of which is currently producing about 60 barrels per day. But of utmost initial importance for Allied is bringing the Prometheus 1H Well back online. When this well was originally tested and submitted to the Texas railroad commission by Apache Corporation in 2014 their report showed 335 barrels production per day along with 298,000 cubic feet of natural gas per day with 2557 barrels of flow back and formation water. Allied will utilize 2021 technology and the experienced skill of our crew to try and match and perhaps even surpass these numbers of record."
A brief history of the Prometheus 1H Well: The well was spudded to begin drilling in November, 2013, and was completed in April of 2014. The well was drilled horizontally to a total measured depth of 11,370’ with a vertical depth of 7,792’. The well was drilled to test the Mississippian formation that has been a very prolific formation in nearby vertical wells. The well was drilled with great observation and completed and treated with the best industry practices in all phases of drilling and completion. The well completion phase consisted of an amazing 24 stage fracturing program to fully expose the Mississippian formation for potential production. An assortment of logs were run to determine areas to determine the best locations along the lateral for potential oil and gas production. It should be noted that several other oil and production zones encountered in the vertical section of the well indicated commercial oil and gas potentials according to well logs and analysis, providing even more behind pipe reserves.
Allied Energy Corporation plans to bring the Prometheus 1H well back into production using proven operating practices and expects the well to produce for many years.
About AGYP: Allied Energy Corp. is an energy development and production company acquiring oil & gas reserves in some of the most prolific hydrocarbon bearing regions of the United States. The Company specializes in the business of reworking & re-completing 'existing' oil & gas wells located in the thousands of mature oil & gas producing fields across the United States. The Company applies its knowledge, experience, and effective well-remediation technologies to achieve higher production volumes, longer well life, and more efficient recovery of the proven and available oil and gas reserves in the fields/projects in which it has acquired an ownership interest. The Company will utilize updated technologies such as hydraulic fracturing ("fracking"), drilling of lateral ("horizontal") legs in productive zones, and utilizing new cased hole electric logging to locate bypassed pays, all to enhance daily rates and oil & gas recoveries. By acquiring interests in a growing number of selected projects in various regions, Allied Energy Corp. is diversifying its exposure and effectively minimizing risk as it pursues corporate growth, top line & bottom-line revenues to the benefit of all stakeholders. There are proven, recoverable reserves contained in the many aging oil & gas fields that have been bypassed by companies moving away from these fields in search of deeper, more plentiful, but more costly reserves. The Company plans to concentrate on bypassed oil and gas as there is less competition and as mentioned above, the costs are considerably less. Additionally, the company will acquire interests in marginal wells that can be acquired at minimal cost, of which there are 420,000 wells in the U.S. Quoting Barry Russell, President of the Independent Petroleum Association of America ("IPAA") - "With approximately 20 percent of American oil production and 10 percent of American natural gas production coming from marginal wells, they are America's true strategic petroleum reserve.”
Safe Harbor Statement: This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates," "believes," "estimates," "expects," "plans," "intends," "potential" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. The Company undertakes no obligation to update or advise in the event of any change, addition or alteration to the information catered in this Press Release including such forward-looking statements.
Contact: Allied Energy Corporation
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