Royale’s Rocky Mountain Drilling Confirms the Prospectivity of Multiple Formations Within Its Entire Acreage Block and Begins Selling Gas From the First Formation
Royale Energy, Inc. (NASDAQ:ROYL) announced that it has begun first gas sales from the V Canyon 20-1 well, its deep exploration test of the northern extent of a 20,000 acre block in the Uintah basin. The well was turned on at a rate of 1,100,000 cubic feet per day from just one of its multiple formations. The current sales price is $7.04 per MCF. A total of 60 feet was drilled in the Entrada, Royale perforated only 22 feet which corresponds to the current production of the V Canyon 20-1 well.
As weather conditions improve in the Spring Royale will perforate additional pay in the Entrada formation and the underlying Wingate formation. It is noteworthy to emphasize the similarity of the Entrada formation in all three wells drilled in 2007 and the prospectivity of this formation is currently being evaluated.
In 2007 Royale drilled three deep tests into its 20,000 acre block in the Uintah Basin, Utah. One of these tests was at the northern limit of the acreage (V Canyon 20-1 well), a second well was drilled at the eastern flank of the acreage (Trail Canyon 1-2 well), while the third test was drilled on the southern part of the acreage (Ten Mile Canyon). Through these tests Royale believes it was able to confirm the prospectivity of multiple potentially productive formations within its entire acreage block.
About the Company
Headquartered in San Diego, Royale Energy, Inc. is an independent energy company. The company is focused on development, acquisition, exploration, and production of natural gas and oil in California, Texas and the Rocky Mountains. It has been a leading independent producer of oil and natural gas for over 20 years. The company’s strength is continually reaffirmed by investors who participate in funding over 50% of the company’s new projects. Additional information about Royale Energy, Inc. is available on its web site at www.royl.com.
Forward Looking Statements
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