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TNOG: Titan Oil and Gas: High Pressures Lead Management To High Expectations Of Oil And Gas!
Titan Oil and gas is pleased to announce that it is encountering high pressures from its K1 well. Brine has been ordered in, which is used to manage any strong pressures of oil, usually a very good sign. Our P.E. Peter Maupin has “worked” this area for many years and was actually involved in the drilling and completion of one of the vertical wells as well as the only horizontal well comments: "High pressure is generally a good sign in a formation as it can signify high potential production rates."
The vertical wells which were completed in this formation in the past usually potentialed between 100 and 150 bopd. The only horizontal well which was completed in this formation potentialed 325 bopd, 620 mcfgpd, and 42 bwpd on a 12/64” choke with a flowing tubing pressure of 1375 psi. In the fuel markets demand for gasoline in the four weeks ended Sept. 23 was 2.8 percent below a year earlier, according to the U.S. Energy Department. The data show that Hurricanes Katrina and Rita are interrupting growth in U.S. fuel consumption for the first time since the Sept. 11 terrorist attacks. Benchmark gasoline futures have declined four sessions in a row in New York amid speculation demand may be eroding. The U.S. average pump price has yet to fall much. It was $2.928 a gallon in recent days, according to the Energy Department, 14 cents below the all-time high.
"There's no question gas will hit $4 a gallon," Ben Brockwell, director of pricing at the Oil Price Information Service, said. "The question is how high will it go and how long will it last?" OPIS tracks wholesale and retail oil prices and provides pricing information for AAA's daily reports on fuel prices. Brockwell said with gasoline prices now exceeding $3 a gallon before even reaching the wholesale level, it "doesn't take a genius" to expect retail prices to hit $4 a gallon soon. "Consumers haven't seen the worst of it yet," Brockwell said.
Energy Secretary Samuel Bodman says the U.S. will release oil from the nation's Strategic Petroleum Reserve to help refiners hurt by Katrina. (August 31) Speaking at a press conference at the White House, Bush asked Congress to send a bill to his desk that allows refineries to expand and new refineries to be built.
Oil prices fell about $2 a barrel Tuesday morning as Bush administration officials said they were prepared to tap oil reserves to make up for production shortfalls due to hurricanes Katrina and Rita. Some analysts remain bullish on gasoline, predicting that the unprecedented scope of the refinery disruptions will push prices to new highs soon.
The state with the costliest gas will start enforcing a cap on wholesale prices; other states consider similar moves. And one expert sees oil at $100 per barrel next year. Hawaii became the first state in the nation to take government action against rising gasoline prices today, placing a cap on wholesale gas prices starting Sept. 1 to prevent what legislators see as price gouging on the islands. But if crude prices climb as high $100 a barrell -- as one expert, who made a spot-on prediction last year, says -- more states could try to find ways to keep energy prices in check. Michigan, for example, has a proposal on the table that would suspend the state gas tax when prices rise above $2.30 Oregon, California, New York and Connecticut all have debated the merits of regulating the price of gas.
Titan Oil and Gas is pending production on the K1 well. Gas and oil couldn't be produced at a better time while prices are at such high levels. Today on CNBC an analyst said he saw potential $20 prices on natural gas as more production issues are at hand. We are anticipating several exciting updates to follow production numbers from the Wilson County K1 well. The recent addition of the Bastrop County Lease has added anticipated value with their potential 400+ acres of drilling in the area with a re-completion of a well with initial production tests of between 123 and 170 barrels of oil per day, and between 84 and 178 mcf of gas per day, without stimulation. This initial target well is within a core lease block of 146 acres which has now been signed with Titan, along with a further 80 acres having been committed. The Company expects that it will soon have between 400- 500 acres under lease.
-------------------- Legal
"I know not with what weapons World War III will be fought, but World War IV will be fought with sticks and stones." -- Albert Einstein Posts: 784 | From: washington, DC | Registered: Aug 2004
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Thanks Legal. Looks like we're going to have to wait a little longer for this. I admit I'm getting impatient. These people are either dumb as a box of rocks, or just incompetent with their information. Course, some might say they are pretty clever to give out so much info. without saying anything that is time sensitive.
-------------------- If you don't have instincts, get out. If you do; go with them. Posts: 262 | From: Florida | Registered: May 2005
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I'm with you leavenart, on the impatient thing! We need to get movin. Their PR's are saying much except the same ol' thing!
-------------------- Legal
"I know not with what weapons World War III will be fought, but World War IV will be fought with sticks and stones." -- Albert Einstein Posts: 784 | From: washington, DC | Registered: Aug 2004
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