Robert A. Kadane, President of KFG Resources Ltd, is pleased to announced a new discovery oil well in Franklin County, Mississippi. The Company's subsidiary, KFG Petroleum Corporation of Natchez, MS, drilled the Drouet Poole Estate #1 well to a total depth of 6800 and found 10' of McShane Oil sand from 6618' to 6628' Production casing has been set for a completion attempt. The Company has a 12% working interest in the well before payout and a 24% working interest after payout.
In addition the Company is moving in to drill its Second Creek Prospect in Adams County, Mississippi. The Stockfelt Unit #1 will be drilled to a depth of 4600' to test the Third Wilcox Formation. KFG has a 15% working interest in the well jumping to a 21.5% working interest at payout. At this writing it is anticipated that two more wells will be drilled in the program and those projects will be announced at a later date.