Magnolia Petroleum declared its participation in three further wells in proven onshore oil plays in Oklahoma, as part of its expansion strategy to rapidly build production. Magnolia currently has interests in 74 producing properties. A positive update on four wells targeting the Mississippi Lime Formation, Oklahoma, is also provided.
Participating in following three wells:
•Joan 2-21,Grant County, targeting The Mississippi Lime Formation,(Magnolia 3.75 percent working interest) operated by Tessera Energy. The total cost of the well has been estimated at $677,700 with the Company's share estimated at $25,414.
•Bollinger 1-27HHorizontal Well,CanadianCounty, targeting theWoodford / Hunton Formation, Oklahoma (Magnolia 1.0 percent working interest) operated by Cimarex. Total drill costs are estimated at $5.9M with the Company's share estimated at $59,000.
•Sherri#1 Well, Viola / Simpson Formation, Oklahoma (Magnolia 1.4297 percent working interest) operated by Steve Nail who has proposed the re-entry of the Sherri#1 well targeting the Viola and Simpson zones. The total estimated cost for the proposed work is $218,250 with the Company's share estimated at $3,120.