HOUSTON, May 1, 2013 /PRNewswire/ -- Torchlight Energy Resources, Inc. (OTCBB:TRCH) is pleased to announce the executed contract for the AFE on the Johnson #2 well in the Marcelina Creek project in Wilson County, TX. The permit has been issued, and the drill site is being prepared.
The previous Buda well drilled in the project was a vertical test and that well is currently producing. However, based upon the recent successes of companies like Dan Hughes, Sage, Crimson, Goodrich, and others, who have successfully completed and announced excellent horizontal Buda discoveries, as well as the excellent Buda shows we have in our logs, Torchlight and its partner Bayshore Operating have elected to drill this well, the Johnson #2H, as a horizontal Buda. The horizontal leg of the Johnson #2 is slated to be 2400'. Upon completion, we will also have Eagle Ford and Austin Chalk reserves behind pipe in the Johnson #2. The reserves on our block are completely surrounded by Eagle Ford producers from Hunt Oil and Clayton Williams. The additional reserves behind pipe only increase the value of our acreage.
Management Comments
"We are very excited about continuing our development plans in Marcelina Creek," stated John Brda, President of Torchlight. "The Johnson #2H will be our first horizontal Buda test and we are looking forward to the results. By all indications, by going horizontally out 2400', we should encounter many more natural fractures, than we would by drilling a vertical hole. The more fractures we encounter, the more likely we are to have excellent results."
You can view more information on the company's website at www.torchlightenergy.com.
ABOUT TORCHLIGHT ENERGY
Torchlight Energy Resources, Inc, headquartered in Houston, TX, is positioned as an oil and gas company with a primary focus on oil. Torchlight will focus on highly probable and profitable drilling and working interest programs that have a short payback period, high IRR and proven reserves and are located in domestic, onshore fields.
With a proven management team and tremendous access to pre-market deal flow, the Company is positioned for tremendous near-term growth for our shareholders. Torchlight will identify drilling opportunities with a high probability of success, purchase working interest ownership in proven field development programs, spread the risk associated with drilling programs by entering into a variety of programs in different fields with differing economics but all with reputable operators and hedging production when possible for predictable cash flows.
FORWARD LOOKING STATEMENTS
The information contained in this news release, other than historical information, consists of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Such forward-looking statements involve known and unknown risks and uncertainties, including risks associated with our ability to obtain additional capital in the future to fund our planned expansion, the demand for oil and natural gas, general economic factors, competition in general and other factors that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. The company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
SOURCE Torchlight Energy Resources, Inc.