Red Rock Resources plc Update - gas production at Shoats Creek (5810M)
October 14 2016 - 5:00AM
UK Regulatory
TIDMRRR
RNS Number : 5810M
Red Rock Resources plc
14 October 2016
Red Rock Resources plc
("Red Rock" or the "Company")
Update - Gas production begins at Shoats Creek
14 October 2016
Further to the announcement of 5 September 2016, Red Rock
announces an update in relation to the Company's Shoats Creek Field
in Beauregard Parish, Louisiana ("Shoats Creek"). The Company has
been advised by the operator that gas production has begun from the
Lutcher Moore 20 ("LM20") well at Shoats Creek.
Highlights:
-- A 600 metre gas line has now been installed which enables oil
and gas to be produced from wells at Shoats Creek, including LM
20.
-- LM 20 has now started delivering gas
-- Revised production rates from LM20 will be reported shortly, once they have been determined
-- Gas sales to Enerfin Field Services LLC, a subsidiary of
Enerfin Resources Company will start at the end of the second week
of October with first cash flow from gas sales expected in November
2016
-- Red Rock has a 20.00% working interest ("WI") and 14.4% net
revenue interest ("NRI") in LM20.
Red Rock Chairman Andrew Bell comments: "We are pleased to see
that the new management at our partners Mayan Energy Ltd
("Mayan")(AIM:MYN) remains committed to the development of the
Shoats Creek field and is already showing some results from its
initiatives there. We look forward to working with them.
With gas prices beginning to reflect the recovery in the oil
price and trading at over $3 per Mcf, we look forward to
strengthening revenues from LM20 and a rapid progression of the
other wells in the field, including LM21 for which we have pre-paid
$148,250 as our share of funding."
Notes
Attention is drawn to the announcement by Mayan today for
further information on the developments at Shoats Creek.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
For further information, please contact:
Andrew Bell 0207 747 9990 Chairman Red Rock Resources Plc
Scott Kaintz 0207 747 9990 Director Red Rock Resources Plc
Roland Cornish/ Rosalind Hill Abrahams 0207 628 3396 NOMAD Beaumont Cornish Limited
Jason Robertson 0129 351 7744 Broker Dowgate Capital
Stockbrokers Ltd
This information is provided by RNS
The company news service from the London Stock Exchange
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October 14, 2016 06:00 ET (10:00 GMT)