Canyon Creek Initiates Inez Field Gas Well Re-Entry
Canyon Creek Oil & Gas, Inc. (a joint venture of Universal Property Development and Acquisition Corporation (OTCBB:UPDA) and USProduction & Exploration, LLC. (USPX), a privately held company) has confirmed a rig for the work-over of its #1 Roberts Gas Well located in the Inez Gas Field, Victoria County, Texas. The rig is scheduled to move on the 243-acre lease on December 15, 2005.
The lease was acquired in August using funds provided by UPDA.
The Form G-1 filed with the Railroad Commission of Texas at the time that the #1 Roberts well was completed shows the well flowing 2,668,000 cubic feet of gas per day on an 8/64" choke with 4,727 psi flowing tubing pressure. Canyon Creek expects to have the well producing at similar levels before the year end.
Production of the #1 Roberts had been plagued in the past by poor completion procedures. The work-over reports acquired by Canyon Creek indicate a poor cement job caused the 5" production casing to fail soon after the well was completed. Later, the Yegua "B" stringer was squeezed with cement and again production was terminated. The well was then re-completed in the Yegua "C" stringer at 8530-34 feet. The Yegua "C" stringer produced 593,000 mcfg and 16,000 barrels of condensate prior to a second casing collapse in the lower portion of the well.
Canyon Creek has hired Gardes Energy Services for their directional drilling services, to prepare re-entry procedures and to contract other third party services in order to re-commence production of the well. Gardes Energy has recommended Schlumberger to provide logging services for the well and Petroleum Engineers, Inc. to provide third party engineering services.
An in-house reserve study estimates the reserves remaining total 4.3 billion cubic feet of gas and 105,000 barrels of condensate.
About UPDA
Universal Property Development and Acquisition Corporation (OTCBB:UPDA) focuses on the acquisition and development of proven oil and natural gas reserves and other energy opportunities through the creation of joint ventures with under-funded owners of mineral leases and cutting-edge technologies.
For additional information visit: www.universalpropertydevelopment.com.
About CCOG
Canyon Creek Oil & Gas Inc. was formed in July 2005 as a joint venture corporation for the purpose of acquiring currently producing oil and gas properties, low risk drilling prospects and existing wells in need of state-of-the-art technology to improve profitability. Canyon Creek Oil and Gas Inc. now has over 60 wells located on more than 2,000 acres in the Fort Worth basin. The Company has also acquired properties located in Inez Field in Victoria County and Giddings Gas Field in Fayette County, Texas. Canyon Creek continues a revitalization program on all of its properties in order to improve production and bring more wells on line.
About USPX
USProduction & Exploration, LLC, an independent production and exploration company located in Sugar Land, Texas, is engaged in the acquisition of oil and gas producing properties with multiple enhancement opportunities. USPX seeks high quality exploration drilling projects in conventional and unconventional reservoirs. The Company’s approach to developing depleted reservoirs and unconventional gas is innovative: it combines horizontal, multilateral, with underbalanced drilling methods.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.