This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Samson Oil & Gas Advisory

Samson Oil & Gas Limited (ASX: SSN; NYSE AMEX: SSN) provides details of a new acquisition and Samson’s presentation at the Enercom Conference in Denver.

NEW PROJECT, WILLISTON BASIN

Samson has executed a definitive agreement to participate in the exploration of an area within the Williston Basin. Pursuant to this agreement, Samson will acquire a 25% interest in 23,700 acres (net 5,925 acres) at a price of $266 per acre, with the payment of $1.58 million due at closing following normal due diligence on land title.

The exploration opportunity is a conventional oil project that is adjacent to existing production from Mississippian aged reservoirs. The specific location of the project will remain undisclosed.

Highlights of the transaction include:

  • The project covers 23,700 gross (5,925 net) acres prospective for conventional oil targets in the Williston Basin.
  • Low entry cost
  • Approximately 20 million barrels of oil potential, based on 2-D seismic.
  • 3-D seismic data acquisition survey and processing to high-grade new drilling prospects, to be acquired before end of 2012.
  • Drilling and completion cost estimated at $1.1 million per vertical well using conventional drilling and completion techniques.
  • Very attractive rates of return

Our partner has mapped several leads from 2-D seismic and well control which Samson presently estimates to contain a gross recoverable contingent volume of approximately 20 million barrels of oil. This estimate is based on the average production from analogous fields on trend of similar size having produced between 1 to 6 million barrels of oil each. These leads will be further defined using a 3-D seismic grid to be acquired later this year for which Samson is agreeing to fund 33.34% at an estimated net cost to Samson of $0.94 million.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs