Clayton Williams Energy Announces Operations Update.Business Editors & Energy Writers MIDLAND, Texas--(BUSINESS WIRE)--Feb. 18, 2003 Clayton Williams Clayton Wheat Williams, Jr. (b. 1931), a businessman from Midland, Texas, was the unsuccessful Republican gubernatorial nominee in 1990 against the Democratic State Treasurer Dorothy Ann Willis Richards even though he initially led in opinion polls by twenty points. Energy Inc. (Nasdaq:CWEI CWEI Combat Warfare Electronic Intelligence ) announced today an operations update by region. South Louisiana The Company completed drilling operations on the State Lease 16901 #1 in January 2003. The well is currently shut-in waiting on pipeline connections and is projected to begin production in April 2003 at an initial rate of 3,500 gross (2,400 net) Mcf of gas per day. The Company plans to drill two more exploratory wells and one developmental well in this area during the first quarter of 2003, and may drill up to five additional exploratory wells and two additional developmental wells during the following quarter. The developmental wells are locations that had been assigned proven reserves in connection with the Company's acquisition of the Romere Pass field in July 2002. Cotton Valley Reef Complex In January 2003, the Company completed the Cotropia Gas Unit #1, a 16,400-foot Cotton Valley Reef Complex well in Robertson County, Texas Robertson County is a county located in the U.S. state of Texas. It forms part of the College Station-Bryan Metropolitan Statistical Area. In 2000, its population was 16,000. Its seat is Franklin6. The county is named for Sterling C. . This well is currently producing 25,000 gross (19,000 net) Mcf of gas per day at a flowing tubing pressure of 7,350 psi PSI - Portable Scheme Interpreter . Due to declines in the flowing tubing pressures, more production history is needed before the Company can make an informed estimate of this well's ultimate production and reserves. In February 2003, the Company abandoned drilling operations on the Scamardo Gas Unit #1 RE, a sidetrack re-entry RE-ENTRY, estates. The resuming or retaking possession of land which the party lately had. 2. Ground rent deeds and leases frequently contain a clause authorizing the landlord to reenter on the non-payment of rent, or the breach of some covenant, when the drilled to test an adjacent target formation. Since the formation was not productive, the Company plans to plug and abandon this well and write-off all capitalized costs associated with it. This will result in charges against earnings of approximately $5.4 million in the fourth quarter of 2002 and $1.8 million in the first quarter of 2003. The Company also began drilling the Muse-Patranella Gas Unit #1, a 17,000-foot Reef Complex well, in January 2003. Drilling operations on this well, located about a mile from the Lee Fazzino #2, should be completed during the second quarter of 2003. The Company will release its financial guidance disclosures for the year ending December 31, 2003 this week. Clayton Williams Energy Inc. is an independent energy company located in Midland, Texas Midland is the county seat of Midland CountyGR6 located on the Southern Plains of the western area of the U.S. State of Texas. As of the 2006 U.S. Census estimate, the city had a total population of 102,073. . Certain statements contained herein constitute "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 (the "Reform Act"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: the volatility of oil and gas prices, the Company's drilling results, the Company's ability to replace short-lived reserves, the availability of capital resources, the reliance upon estimates of proved reserves proved reserves The quantity of minerals expected to be recoverable under current economic and operating conditions. The amount of proved reserves is important in valuing the stock of a company with significant holdings in natural resources. , operating hazards and uninsured risks, competition, government regulation, the ability of the Company to implement its business strategy and other factors referenced in the Company's public filings with the Securities and Exchange Commission. |
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