LONDON, Aug. 4, 2011 (GLOBE NEWSWIRE) -- Alamo Energy Corp. (OTCBB:ALME) is pleased to announce the successful completion of the University of the Cumberlands #5 well as part of the KYTX completion program.
As part of Alamo's aggressive campaign to increase revenue, the company has embarked on a 25 new well completion program utilizing the company's in-house workover capability and specialist service companies.
The first 3 wells completed in this program yielded approximately 349,000 cubic feet per day from the flow tests, higher than existing production from existing wells on the acreage which averages approximately 300,000 cubic feet of natural gas per day.
Using the same completion techniques targeting the Devonian Shale and Big Lime formations, the University of the Cumberlands #5 was flow-tested for 12 hours through the digital wellhead meter at 116,000 cubic feet per day.
On the basis on these results, we believe the total production once all 25 wells are completed could exceed 2,000,000 cubic feet of natural gas per day from existing drilled wells. Following the expansion of the company's acreage, we believe there is the opportunity to drill 256 new wells on 20-acre spacing.
New wells drilled on the acreage could be connected to existing pipeline infrastructure in place that is able to accommodate increased production of up to 9,000,000 cubic feet per day therefore reducing the capital expenditure required per new well.
Allan Millmaker, Chief Executive Officer, commented: "We believe that these 4 completions will lead to a 35% increase in field revenue based on the total flow-test results. We plan to continue this program and complete the remaining wells before embarking on a drilling program on our acreage."
About KYTX Group of Companies.
The KYTX group of companies are wholly owned subsidiaries of Alamo Energy Corp and are located in Knox County, Kentucky in the Appalachian basin. The companies are KYTX Oil & Gas, KYTX Pipeline, and KYTX Drilling Company. Together, they contain 71 wells located on 6,540 acres, a 23-mile strategic pipeline network capable of handling up to 9,000,000 cubic feet of gas per day connected into the Delta system and one drilling rig, one service rig and associated well-servicing equipment.
About Alamo Energy Corp.
Headquartered in London, England and with operational offices in Knox County, Kentucky and Houston, Texas, Alamo Energy Corp. (OTCBB:ALME) is an independent company focused on the exploration, development and production of onshore oil and gas reserves in the United Kingdom and United States. The company's UK exploration program is focused on four blocks spread over 400 square kilometers in an onshore oil and gas province in South East England. Alamo's U.S. operations are focused on the development of assets in Texas, Kentucky, Tennessee and West Virginia. For more information, visit www.alamoenergycorp.com/">www.alamoenergycorp.com
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Forward-looking Statements:
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