Remington Oil and Gas Corporation Provides Operations Update
02 Août 2005 - 3:02PM
PR Newswire (US)
DALLAS, Aug. 2 /PRNewswire-FirstCall/ -- Remington Oil and Gas
Corporation (NYSE:REM) today provided an update on the Company's
drilling and production operations. Drilling Program Listed in the
table below are wells recently drilled, currently drilling or
completing, along with wells that are scheduled to be drilled in
the near term. Prospect Category W.I.% Status/Spud Date Operator
Offshore West Cameron Exploratory 100 Suspended- 444 #2 Waiting on
Platform Remington East Cameron Exploratory 100 Discovery- 185 C-3
Completing Remington East Cameron Exploratory 100 Stuck Pipe- 298
#1 Sidetracking Remington East Cameron Exploratory 50 Plugged and
315 #1 Abandoned Remington East Cameron Exploratory 75 Drilling
Remington 346 A-15 South Pass Exploratory 50 Drilling Marathon 87
Aquarius Main Pass Exploratory 20 Discovery- 185 #1 Drilling Ahead
Cimarex Vermilion Exploratory 100 August Remington 61 A-3 Ship
Shoal Exploratory 60 August Remington 250 #1 Main Pass Exploratory
50 August Cimarex 200 #1 After testing the West Cameron 444 #1 at 6
MMCF/D, the West Cameron Block 444 #2 exploratory well was drilled
to total depth of 8,767 feet and encountered the primary objective,
which was faulted out of the wellbore. The well has been suspended
while the platform is installed and at that time, a rig will return
to sidetrack the well to a structural location away from the
original well. The Company expects first production to commence in
the late 3rd quarter 2005. Remington operates West Cameron Block
444 and owns a 100% working interest in the West Cameron 444 #2
wellbore. Remington has made a deeper pool discovery at the East
Cameron 185 C-3 well. This well encountered apparent gas pay in a
single sand below the existing main field producing horizons. The
well is currently being completed and is expected to begin
production by the end of this month. Remington owns a 100% working
interest in the East Cameron C-3 well. Drilling activities continue
at the company's East Cameron Block 346 field. The Company recently
drilled the A-14 well to 8,168 feet and encountered well control
problems and determined the well's casing program was insufficient
to reach the proposed total depth. The A-14 well will be used as a
future development well. Remington is currently drilling the A-15
well to the same exploratory targets the A-14 was attempting to
reach, however the A-15 has a larger casing program that should
enable the well to reach the proposed total depth of 10,817 feet.
The Company has plans to drill up to two more wells on this
property after the A-15 well. Remington operates East Cameron Block
346 with a 75% working interest. Cimarex (NYSE:XEC) owns the
remaining 25%. Additional exploratory wells drilling include South
Pass 87 Aquarius and Main Pass 185 #1. The Main Pass well has
encountered apparent, commercial gas pay in one of the primary
objectives and is still drilling and should be at total depth this
week. South Pass 87 Aquarius is expected to reach total depth by
the end of October. Exploratory wells scheduled to commence
drilling this month include Vermilion 61 A-3, Ship Shoal 250 #1 and
Main Pass 200 #1. The Company is currently waiting on its
contracted semi-submersible rig to drill its 100% working interest
Noonan prospect in 2,700 feet of water. Remington expects this well
to begin drilling in the late 4th quarter 2005 or early 1st quarter
2006. Production Update Remington's second quarter 2005 production
averaged approximately 114 million cubic feet of gas equivalents
per day compared to an average 96 MMCFE/D for the first quarter
2005. The Company estimates its average daily production for the
second half of the year to range between 115 to 125 million cubic
feet of gas per day or total approximately 21 to 23 BCFE for the
six months. This range represents a 5 to 10 percent increase in
full year production volumes over 2004 levels. Third quarter
volumes are expected to be lower than the second quarter due to
production shut-ins as a result of Hurricane Dennis and Emily
during the first two weeks of July and downtime associated with a
workover operation at the South Marsh Island 24 A-2 well.
Additional production downtime associated with a facility upgrade
will be experienced in the second half of August for approximately
15 days at Remington's largest producing field located at East
Cameron Block 346. This facility enhancement will expand production
capacity from 5,000 BOPD to 10,000 BOPD. This expansion will be
timed in conjunction with downtime associated with a third party
pipeline repair on a gas export line that is also scheduled in
August. The Company expects 4th quarter volumes to ramp up as a
result of this expanded capacity and additional new fields coming
on line. Remington Oil and Gas Corporation is an independent oil
and gas exploration and production company headquartered in Dallas,
Texas, with operations concentrating in the onshore and offshore
regions of the Gulf Coast. Statements concerning future revenues
and expenses, production volumes, results of exploration,
exploitation, development, acquisition and operations expenditures,
and prospective reserve levels of prospects or wells are
forward-looking statements. Prospect size and reserve levels are
often referred to as "potential" or "un-risked" reserves and are
based on the Company's internal estimates from the volumetric
calculations or analogous production. Other forward-looking
statements are based on assumptions concerning commodity prices,
drilling results, recovery factors for wells, production rates, and
operating, administrative and interest costs that management
believes are reasonable based on currently available information;
however, management's assumptions and the Company's future
performance are subject to a wide range of business, mechanical,
political, environmental, and geologic risks. There is no assurance
that these goals, projections, costs, expenses, reserve levels, and
production volumes can or will be met. Further information is
available in the Company's filings with the Securities and Exchange
Commission, which are herein incorporated by this reference.
Information in this document should be reviewed in combination with
the Company's filings with the Securities and Exchange Commission
and information available on the Company's website at
http://www.remoil.net/ . DATASOURCE: Remington Oil and Gas
Corporation CONTACT: Steven J. Craig, Sr. Vice President of
Remington Oil and Gas Corporation, +1-214-210-2675 Web site:
http://www.remoil.net/
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