FORT WORTH, Texas, Sept. 30, 2014 /PRNewswire/ -- Lonestar
Resources, Ltd. (ASX: LNR, OTCQX: LNREF) is pleased to provide an
update on the Company's initial successes in its drilling and
completion activities in the Eastern Eagle Ford Shale play,
including initial production tests from its first two completions
which average 738 barrels of oil equivalent per day (95% crude oil
and NGL's). These results provide confidence in the Company's
forecasted 2014 exit rate of 6,500 to 7,000 BOEPD, and suggest
increases in proved reserves from the Eastern Eagle Ford Shale
trend at year-end 2014.
As budgeted, Lonestar has drilled and completed five horizontal
wells in Brazos and Burleson Counties during the third quarter of
2014. The first two of these wells have been drilled, completed,
fracture stimulated and were placed on flowback on September 23rd. Details of their
completion are as follows:
- Ranger Dansby #A4H- Lonestar drilled its first lateral
in the Eastern Eagle Ford in 23 days. Lonestar perforated a
5,619-foot interval and pumped 7.9 million pounds of proppant
across 21 stages (1,404 lbs/foot). The most current rate from the
#A4H was 674 bopd and 413 Mcfgpd on a 17/64" choke, equating to a
processed three-stream rate of 778 BOEPD. This rate is being
achieved at a 40% oil cut, with only 4% of the frac load recovered.
Lonestar has a 100% WI and a 78.1% NRI in the well, which was
classified as Possible Undeveloped in Lonestar's reserve report at
year-end 2013.
- Ranger Dansby #B1H- Lonestar drilled its second lateral
in the Eastern Eagle Ford in 12 days. Lonestar perforated a
5,406-foot interval and pumped 8.1 million pounds of proppant
across 21 stages (1,495 lbs/foot). The most current rate from the
#B1H was 600 bopd and 387 Mcfgpd on a 17/64" choke, equating to a
processed three-stream rate of 698 BOEPD. This rate is being
achieved at a 36% oil cut, with only 4% of the frac load recovered.
Lonestar has a 100% WI and a 78.3% NRI in the well, which was
classified as Possible Undeveloped in Lonestar's reserve report at
year-end 2013.
Lonestar currently has three wells awaiting fracture stimulation
in the Eastern Eagle Ford. Lonestar owns a 82.3% WI and a
62.0% NRI in the Dunn A Unit #1H and Dunn A Unit #2H, which it has
cased to total depth of 14,346 feet and 14,338 feet, respectively,
and expects to begin fracture stimulation operations in the next 7
days. These wells were classified as Probable Undeveloped in
Lonestar's reserve report at year-end 2013. Lonestar has also
completed the Scasta #3H well, which was its only Proved
Undeveloped location in its 2014 capital program. Lonestar
owns a 100% WI and a 79.4% NRI in the Scasta #3H well, which it has
cased to a total depth of 13,060 feet, and plans to fracture
stimulate immediately after it completes operations on the Dunn
Unit wells. All three of these wells are expected to contribute to
production in November, 2014. Of considerable note is the
fact that Lonestar has achieved considerable progress in terms of
drilling time over its first five wells, with its last two wells
reaching total depths approaching an average of 14,000 feet in an
average of eight days.
Frank D. Bracken, III, Lonestar's
Managing Director and Chief Executive Officer commented, "We are
extremely pleased with our initial results in the Eastern Eagle
Ford. We have delivered excellent initial production results
from our first two producers, and currently expect to have three
additional completions onstream by November, 2014. It is
noteworthy that only one of Lonestar's five completions in the
Eastern Eagle Ford Shale trend was designated as Proved Undeveloped
in our reserve report at year-end 2013. Accordingly, we
believe that the 2014 Eastern Eagle Ford drilling program should
have positive implications for Lonestar's Proved Reserves base at
year-end 2014. Furthermore, I am extremely pleased with the
considerable strides made by our technical team in terms of
optimizing our geo-steering processes, our drilling techniques, and
our fracture stimulation procedures, and I believe that the Eagle
Ford Shale wells that we will drill in 2015 will benefit
significantly from what we have learned from our initial
program."
Cautionary & Forward Looking Statements
This Announcement includes forward‐looking statements. These
statements relate to Lonestar's expectations, beliefs, intentions
or strategies regarding the future. These statements can be
identified by the use of words like "anticipate", "believe",
"intend", "estimate", "expect", "may", "plan", "project", "will",
"should", "seek" and similar words or expressions containing the
same or similar. These forward‐looking statements reflect the
Company's views and assumptions with respect to future events as of
the date of this Announcement and are subject to a variety of
unpredictable risks, uncertainties, and other unknowns. Actual and
future results and trends could differ materially from those set
forth in such statements due to various factors, many of which are
beyond Lonestar's ability to control or predict. Given these
uncertainties, no one should place undue reliance on any
forward‐looking statements attributable to Lonestar, or any of its
affiliates or persons acting on its behalf. Although every effort
has been made to ensure this report sets forth a fair and accurate
view, Lonestar disclaims any obligation to update or revise any
forward‐looking statements, whether as a result of new information,
future events or otherwise.
Web: www.lonestarresources.com
SOURCE Lonestar Resources, Ltd.
