EXPLORATION

Pacrim spuds first Californian well

PACRIM Energy has started exploration drilling in the North Sacramento Basin, California, following the spudding of its first US well, McClure 1-1, yesterday, the company said.

McClure 1-1 was the first well to be drilled in Pacrim's 2005 three-to-four well program.

Pacrim said the McClure Ranch Prospect was selected for initial drilling as it was nearby existing infrastructure that would fast-track production upon a gas discovery.

The company says it will later decide whether to drill more wells at McClure or move the rig to the Plymire Road Prospect, which is a larger structure with four way closure, to drill a multiple target well. The drill site and access track were upgraded to allow work to continue in severe weather, it said.

Managing director Rodney D Foster said Pacrim had achieved a major boost to its Northern Sacramento Basin Project lease holding in the past three months.

“Pacrim Energy has been successful in securing a substantial increase of a further 30,000 acres of prospective area taking the company’s total holding to in excess of 50,000 acres,” Foster said.

“These acquisitions cover numerous prospects, placing Pacrim Energy in a dominant position in this region.”

In late July, Pacrim completed the acquisition of a 100% working interest in the Northern Sacramento Basin Project area from the Nahabedian Exploration Group (NEG).

“The transaction has led to NEG being appointed operator of the project and their associates becoming the company’s largest shareholder group to provide a common focus on Pacrim Energy’s success,” Foster said.

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