Northcote Energy says that the drilling crew is on-site and operations have now commenced at its planned Lutcher Moore ('LM') #20 well targeting the Frio formation on its 70% owned Shoats Creek project. The well will be drilled to a total depth of approximately 5,500 feet. The Company will provide further updates as LM #20 reaches certain drilling, testing and completion milestones.
LM #20 is being drilled as a twin to the LM #16, located on the existing LM #16 pad site. Northcote made the decision to twin this well due to the fact that the LM #16 well, was suspected to have had casing failure, causing water to rapidly increase and stifling hydrocarbon production that was nearly 100 BOPD when it stopped producing in 1984.
Northcote has taken advantage of the opportunity to increase its interest by 23% to 93% in LM#20 and a third party has acquired the remaining 7% interest. The opportunity arose due to financial difficulties experienced by Northcote's 30% partner in the well.