Atikwa Resources Inc. V.ATK

Pierson Update from Legacy

[goldensasky]

All is well in Spearfish so lets hope the value is realized by Atikwa.  Good Luck to all Longs.  Do your own Due dilegence> Below is an exert from Legacy press release today.

Sasky

SPEARFISH PLAY

At Pierson, Manitoba, the Company continues to deliver excellent production results in the Spearfish compared to both the previous operator's drilling and the type curve used in the 2011 year-end independent engineering report. Legacy has achieved these rates while constraining production to maximize ultimate recovery. All recent wells carry significant fluid levels, with some wells having fluid just below surface. The Company estimates that initial productive capability of a number of these Pierson wells would range from 120 to 280 Boe per day; well in excess of the currently constrained rates. The Company believes these achievements will lead to superior long term performance, higher per well reserve bookings plus additional locations booked.

Legacy has continued to improve capital efficiencies in the Spearfish play in Pierson. Through a combination of reduced day rates for both drilling and stimulation services and improved operations execution, wells drilled in Pierson over the first nine months of 2012 have drill, complete, equip and tie-in costs of less than $1.5 million. Wells drilled in the most recent quarter have all-in capital costs between $1.2 million to $1.3 million. Average number of drilling days has been reduced from 10 days in 2011 to 6 to 7 days in the most recent quarter. This excellent performance has been on "long" horizontal wells which are typically drilled across an entire section. Operating costs continue to be reduced as additional wells are tied-in to the central oil battery. Current operating costs in Pierson are down 35 percent in the third quarter of 2012 from the third quarter of 2011.