American Energy Development Corp. reported the progress of drilling the Cremer 1-1 well.

Located on the company's Dansville Prospect, the Cremer 1-1 well was spudded on April 24, targeting a Niagaran reef structure and reached total depth of approximately 4,500 feet on May 8. The geophysical logging data was carefully examined for density, porosity and water saturation in order to determine reservoir size, quality and deliverability. After evaluating findings of the log analysis and seeking opinions and options from the company's and operator's panel of geoscientists and engineers, it was determined that during drilling the well encountered the flank of the structure and detected presence of salt plugging in the drilled area of the formation.

Given the good porosity, permeability and oil shows in the structure, the drilling contractor has cement plugged the Cremer 1-1 well, which will enable the well to be re-entered when a final development plan has been determined. Options include sidetracking the well, targeting the top of the structure.

Tags: American Energy Development Corp.