Sun Cal Energy Inc. (SCEY.OB), a leading energy exploration company, has announced the preliminary analysis and reserve estimates from the company’s property in the South East Jonah Area, Wyoming. Sun Cal Energy has a 100% working interest in this land, over 6,000 acres of leases in the Jonah Field region of Wyoming.
The independent study focused on Section T27N-R107W in Sublette County, Wyoming, and outlined an average of .8 BCF per well using 40 acre well spacing as a reasonable expectation. These parameters would yield a reserve of 13 BCF per section, or a total of 117 BCF for the nine sections in Sun Cal’s Jonah Prospects. The study also states that infill drilling could easily double these reserves to 26 BCF per section or more.
Lewis Dillman, President and Chief Executive Officer of Sun Cal Energy Inc. stated, “We are excited to receive additional validation from an independent geophysical consultant, and we look forward to additional technical analysis and evaluation of seismic data to finalize a work program for our Prospects in the very near future. With recent announcements of several proposed pipelines to transport natural gas from Wyoming to other states, we expect that the area will continue to grow in stature, and be quick to tie into.”
Lewis DIllman added, “While almost every other gas-producing area in North America has experienced gradual-to-moderate declines, natural gas reserves in Wyoming are actually increasing. With 93% natural gas drilling success rates in 2006, we believe our Jonah Prospects could provide significant upside and discovery potential for our shareholders. Even after discounting the price of natural gas to $2.40, the reserves implied by the report suggest that the Sun Cal’s Jonah Prospects could yield $560 million.”
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