On Friday Amadeus announced that its Wilson #24 well at Raccoon Bend, Texas had reached target depth. Preliminary analysis had shown five separate pay zones, totalling 68 feet of net pay with extremely good porosity and permeability, which the company said should be indicative of large reserves.
No oil water contact was found in any of the five horizons which it said would further enhance the reserve potential. Amadeus has a 60.5% working interest in this prospect.
Amadeus followed this up this morning by announcing its Rash Barrett-5A well in Jefferson County, Oklahoma had been successfully drilled, finding 21 feet of field pay sand at 2183 feet. This gross sand interval was divided into three distinct lobes consisting of a net 14 feet of good, clean porous sand development exhibiting 23% porosity throughout. Amadeus has a 60% working interest in this lease.
Amadeus chairman Robert Scott said the company had a positive outlook for 2005 with a focus on its core US business, supplemented by the development of the Australian biodiesel business through Australian Renewable Fuels.
Addressing the company’s AGM, Scott said Amadeus would continue its strategy to increase its US production base through successful acquisition of producing properties, as well as by working with US partners on exploring for oil and gas.
“Our current forecast estimates revenues should significantly increase compared to 2004, as a result of increased production levels and higher oil prices,” he said.
“This result will be impacted by the Aussie dollar and the prevailing spot oil price. The board will continue to monitor hedge pricing and bid for further oil and gas acquisitions in the US.”
Balancing a mix of cash-producing assets and wildcat exploration opportunities would increase the company’s production base for Amadeus and offset the negative impact of the exchange rate, Scott said.
