PostRock Energy Corporation provided an operations update. During the last 75 days, the Company has completed twelve workovers in Central Oklahoma. The average total cost per workover was approximately $275,000 and, collectively, the workovers have a projected IRR in excess of 100% at current oil and gas prices.
This has resulted in the Company's current oil production rising to an average of 700 net barrels per day, 18% over first quarter levels. Within the next week, the Company expects to finish drilling its initial Central Oklahoma horizontal well in Seminole County. The well targets the Hunton formation and, if successful, should be on production in June. A second horizontal well will be spudded immediately thereafter.