Samson Oil & Gas Limited (ASX:SSN) (NYSE AMEX:SSN) provides advice on its current projects.
HAWK SPRINGS PROJECT, GOSHEN COUNTY, WYOMING
Spirit of America US34 #2-29, (SSN 100% WI)
The Spirit of America #2 well has set intermediate seven inch casing at a depth of 9,130 feet, which completed a significant milestone in securing the Permian salt section behind pipe. This depth is 60 feet deeper than the point at which the first well was abandoned, which did not penetrate the two 3-D seismically defined targets. Drilling operations re-commenced and the shallowest primary target in the Permian section was intersected at 9,287 feet and an interval of unconsolidated sandstone was drilled between 9,304 and 9,320 feet. A significant amount of free oil was recovered from samples within this interval. A significant oil show was also recorded over the interval 9,393 and 9,430 feet in a shaly siltstone. The well at 0600 hours this morning was drilling ahead at 9,441 feet after completing a repair to the top drive. The forward plan is to drill ahead to evaluate a deeper target prior to a total depth of approximately 10,750 feet. A comprehensive geophysical logging suite will be run at total depth.
ROOSEVELT PROJECT, ROOSEVELT COUNTY, MONTANA
Australia II 12KA 6, #1-29H, (SSN 100%, subject to a 33.34% back-in right)
The work-over rig has completed its work on the Australia II well and the well bore is ready for production. Surface facilities and the well hook up have been completed and the well began pumping Friday May 25th. The well-produced approximately 500 bbls of mostly completion fluid during the first 24 hours, and will be evaluated over the next few weeks. We will report the well's oil production potential when known.
Samson’s Ordinary Shares are traded on the Australian Securities Exchange under the symbol "SSN". Samson's American Depository Shares (ADSs) are traded on the New York Stock Exchange AMEX under the symbol "SSN". Each ADS represents 20 fully paid Ordinary Shares of Samson. Samson has a total of 1,996 million ordinary shares issued and outstanding (including 231 million options exercisable at AUD 1.5 cents), which would be the equivalent of 88.25 million ADSs. Accordingly, based on the NYSE AMEX closing price of US$1.70 per ADS on May 25th, 2012 the Company has a current market capitalization of approximately US$166 million. Correspondingly, based on the ASX closing price of A$0.083 on May 25th, 2012, the Company has a current market capitalization of A$164 million. The options have been valued at their closing price of A$0.071 on May 25th, 2012 and translated to US$ at the current exchange of 0.9744 for purposes of inclusion in the US$ market capitalization calculation.