Strata-X Energy Ltd. provide an update to the Company's vertical well exploration program which will test multiple shallow Mississippian-aged reservoirs with interpreted oil pay in its 100%-owned Illinois Basin project. The Company has to-date received regulatory approvals to drill three ~3,800-foot (1,160 metre) wells: the Blue Spruce #1, the White Fir #1 and the Douglas Fir #1.
Strata-X has signed a multi-well drilling contract with Webster Drilling, Inc. to drill multiple vertical wells starting in early December 2014 with the Blue Spruce #1 well. Assuming success of the initial vertical well program, the Company anticipates implementing a self-sustaining, continuous, low-risk development program which offers the potential for it to have a predictable and substantial production growth profile over the next 12 months and beyond.
Strata-X holds a 100% interest in approximately 67,000 net acres in Illinois. These properties sit on top of, and adjacent to, several giant oil fields that have collectively produced in excess of 1.5 billion barrels of oil.(