Samson Oil & Gas Limited (ASX: SSN; NYSE MKT: SSN): NORTH STOCKYARD PROJECT (Samson 50% operated working interest) Samson Oil & Gas Limited (ASX: SSN; NYSE MKT: SSN) advises that drilling operations commenced on the Billabong 2-13-14HBK yesterday morning which is currently drilling at a depth of 6,500’ in the Kibbey Lime. The well will be drilled vertically to a kick off point at 10,824 feet (TVD) and 7 inch casing landed at 11,300 feet (TVD) in preparation to drill the 6,100 foot lateral in the Middle Bakken Formation. SOUTH PRAIRIE (Samson 25% non-operated working interest) The Matson #3-1 well has been drilled to a total depth of 4,825 feet. The partners in the well have elected to plug and abandon the well based on the logging and show results. Samson’s share of costs incurred in the well is estimated to be approximately $175,000. The data indicates that oil migrated through the Mission Canyon reservoir, evidenced by black asphaltic dead oil stain, but was not trapped in the targeted 420 acre 4-way structural closure. A possible explanation for this is that the dissolution of the underlying Devonian Prairie Salt, which created the structural closure in the overlying Mission Canyon Formation, must have occurred after oil migrated through the area. Since the structural closure or trap was not in place at the time of oil migration, the oil would have moved updip to the next trap, which is the present day Glenburn Oil Field. The Glenburn Oil Field structural closure is controlled by the Prairie Salt edge whereas the Matson structural closure was created by interior localized salt dissolution pods. Based on the Matson result the forward program will show a preference for structural closures that exist along the salt edge rather than those created by dissolution events further interior to the salt edge. Samson expects that the partners will now focus on developing its three structural closure prospects (Pubco, Deering, and one yet to be named) along the Prairie Salt edge in the South Prairie 3-D project.
Investors may be too focused on U.S. stocks and China's selloff to notice Puerto Rico's troubles, but the commonwealth's problems are worsening, warns George Schultze, CEO of Schultze Asset Management.