NEW ORLEANS, Sept. 30, 2013 /PRNewswire/ -- Treaty Energy Corporation (OTCQB: TECO) ( http://www.treatyenergy.com), a growth-oriented international energy company, today announced that the Company has commenced full drilling operations on the Stockton Lease in Tuscola, Texas.
On September 27, 2013, at around 6:10pm CDT, the drilling rig spudded in on the Stockton #2 well. The Company is employing a local drilling contractor to perform the operation. The Stockton #2 well will be drilled to the Gardner Limestone pay-zone located at an approximate depth of 4800ft. The well is considered an off-set well to the Company's successful Mitchell #4 well.
Currently, the Stockton #2 drill is at approximately 2000ft. and is drilling 24 hours a day. Due to proximity and same field geology, initial production numbers and estimated production rates are expected to be similar to the Mitchell #4 well, which received an initial production rate of 61 barrels of oil per day (BOPD) and an announced production rate of 45-50 BOPD.After completion of the Stockton #2 well, the drilling rig will immediately move over to the Stockton #3 site to begin drilling operations there. The target pay-zone for the Stockton #3 is also the Gardner Limestone and is expected to have a total depth of 4800ft. Drilling on the Stockton lease comes at an opportune time with the price of WTI Crude nearing all-time highs at over $100.00 a barrel. Initial production surges will guarantee larger profits for the Company due to this unexpected market development. The Stockton lease project was entirely self-funded and the Company sought no additional partners on the project. As a result, the Company maintains its full 75% net revenue interest (NRI) and a 100% working interest (W/I) on the well.