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Blue Earth Resources, Inc. has reported an update on its ongoing operation activities.
The Company stated that the initial phase of workover activity has been hindered by adverse weather conditions in the area. With improved climate conditions, workover activity has resumed on the Hunter Mannies #1. This well has solid long life production with initial production level coming in at 125 barrels per day. After careful evaluation and consultation with Blue Earth's advisory team, the Company has made the decision to re-perforate the well. During consultation, Blue Earth's advisory team discovered two potential producing zones that have developmental opportunities.
When Chesapeake Energy discovered the Haynesville Shale, they proceeded to drill 5 wells on the Hunter Mannies lease. It was at that time they discovered what appears to be an oil zone that has not been produced. With the perforation of the two new zones, engineers believe it will optimize reservoir production and maximize reserve recovery.
John Lai, President of Blue Earth Resources, commented: "We are excited about the activity taking place on the Hunter Mannies lease and look forward to announcing the results in the next few days."