(Source: Business Wire)
Royale Energy, Inc. (NASDAQ:ROYL) announced today that it has performed a number of workovers aimed at increasing production ahead of the summer cooling load, in its continuing effort to adjust to the current economic climate. As a result, the company successfully perforated new zones in the Victor Ranch 9-16, 1-9, and Federal 3-2 wells.
The Federal 3-2 perforations were conducted at depths below 8,900 feet in the McCormack sand and tested gas at a stabilized rate of 1.12 Million Cubic Feet (MMcf) per day. The well was put into production yesterday at a startup rate of 200 Thousand Cubic Feet (Mcf) per day and will be increased slowly to its maximum efficient rate.
The Federal 3-2 well was first put into production in June 1986 and has produced a total of 1.7 Billion Cubic Feet (BCF) of gas to date from deeper zones. The shut-in pressure of 3070 psi indicates a fully charged new zone which has not been depleted by any nearby wells. After 23 years of production, the addition of this previously untapped zone may lead to additional exploration opportunities in the area.
About Royale Energy
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
In addition to historical information contained herein, this news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, subject to various risks and uncertainties that could cause the company's actual results to differ materially from those in the "forward-looking" statements. While the company believes its forward-looking statements are based upon reasonable assumptions, there are factors that are difficult to predict and that are influenced by economic and other conditions beyond the company's control. Investors are directed to consider such risks and other uncertainties discussed in documents filed by the company with the Securities and Exchange Commission.
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