Carrollton, Texas, July 07, 2021 (GLOBE NEWSWIRE) -- Allied Energy Corp (OTC Pink: AGYP), an energy company focused on leasing and reworking oil and gas reserves in the most prolific hydrocarbon areas of the United States, is pleased to provide an update regarding progress being made at the Company's M1 Well at their Green Lease location.
The Company is delighted to inform investors that all the planned work outlined in the Company's June 17, 2021 press release was completed in a timely and cost-effective manner.
CEO George Montieth commented: "Curtis has been managing our various oil projects with great efficiency and resolve. He is the man on the ground that is planning the work and then working the plan. I am pleased with the time we've made up on the Green Lease after battling heavy rains in northern Texas for several weeks. The entire crew is well-aware of surging oil prices and all of us are incentivized to bring wells online and producing this month."
Beginning in the third week of June, Allied brought a workover rig to Well M1 at the Green Lease site. The rig started out of the hole with combination of 5/8" and 3/4" rods. Initially the hole was full with heavy oil cut in the well. The crew pulled pump 1 1/4” x 6’ pump set at 2970’.
After completing this, the tubing was pressure tested to 7000 psi. A few bad joints were discovered and repaired. The M1 Well was circulated for approximately 3 hours until fluid became clear and clean. The roustabout crew also circulated some shale and sand from the Rat hole at the bottom of the well.
The crew then started in hole with an AD-1 packer. The packer was set at 2984’, and rigged up for Flying A Acid. Flying A arrived on location on June 22. The acid truck was rigged up and prepped. The Flying A crew started pumping 750 gallons of 15% NeFe and displacement water. Project Manager Boyles reported that the acid job went very well.
After the acid job was complete the crew opened the well to the tank and flowed spent acid and saltwater. 14 barrels of fluid were unloaded. Then the crew started swabbing and swabbed back approximately 31 barrels of fluid. The crew noticed a good oil cut on final run.
Well M1 is currently ready to begin production. A pumpjack will be installed this week and the Company will have a good idea of barrels per day flow rate later this month. The crew at the Green Lease has currently moved workover operations to Well K-3.
The Company remains committed to providing updates on their corporate website and/or the corporate Twitter page as production progress is achieved.
About AGYP: Allied Energy Corp. is an energy development and production company acquiring oil & gas reserves in some of the most prolific hydrocarbon bearing regions of the United States. The Company specializes in the business of reworking & re-completing 'existing' oil & gas wells located in the thousands of mature oil & gas producing fields across the United States. The Company applies its knowledge, experience, and effective well-remediation technologies to achieve higher production volumes, longer well life, and more efficient recovery of the proven and available oil and gas reserves in the fields/projects in which it has acquired an ownership interest. The Company will utilize updated technologies such as hydraulic fracturing ("fracking"), drilling of lateral ("horizontal") legs in productive zones, and utilizing new cased hole electric logging to locate bypassed pays, all to enhance daily rates and oil & gas recoveries. By acquiring interests in a growing number of selected projects in various regions, Allied Energy Corp. is diversifying its exposure and effectively minimizing risk as it pursues corporate growth, top line & bottom-line revenues to the benefit of all stakeholders. There are proven, recoverable reserves contained in the many aging oil & gas fields that have been bypassed by companies moving away from these fields in search of deeper, more plentiful, but more costly reserves. The Company plans to concentrate on bypassed oil and gas as there is less competition and as mentioned above, the costs are considerably less. Additionally, the company will acquire interests in marginal wells that can be acquired at minimal cost, of which there are 420,000 wells in the U.S. Quoting Barry Russell, President of the Independent Petroleum Association of America ("IPAA") - "With approximately 20 percent of American oil production and 10 percent of American natural gas production coming from marginal wells, they are America's true strategic petroleum reserve.”
Safe Harbor Statement: This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates," "believes," "estimates," "expects," "plans," "intends," "potential" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. The Company undertakes no obligation to update or advise in the event of any change, addition or alteration to the information catered in this Press Release including such forward-looking statements.
Contact: Allied Energy Corporation