Shareholders of Mt Pleasant-based oil and gas exploration company Alto Energy International Ltd have approved a plan to re-name the company Grand Gulf Energy Ltd, the company announced today.
The full text of a company announcement is pasted below
Alto Energy International Limited (ASX:AOI) is pleased to announce that it has today received shareholder approval to change its name to Grand Gulf Energy Limited. It has reserved the ASX code GGE. Subject to ASIC and ASX approvals this will be effective by about 1st July 2007.
Grand Gulf Energy Managing Director and Chief Executive Officer James Trimble said the name change reflects the company's new focus on low risk, conventional oil and gas plays in Oklahoma and Louisiana.
"Our primary focus at the moment is on the aggressive exploration and development of the Foothills Joint Venture in Oklahoma, and the Phase 3B Drilling Program and Napoleonville Salt Dome 3D Seismic project in Louisiana, " Mr Trimble said.
"With our new focus, and the recent success of our first three new wells, the name change is very timely," Mr Trimble said.
UPDATE ON PROJECTS:
The Foothills Joint Venture in LeFlore County, Oklahoma
Grand Gulf Energy participated in the 24 square mile 3D seismic program with BP and has drilled two wells this year, the Reed #4-8 and the Pate #5-18.
The Reed #4-8 well has been connected with the sales gas pipeline network and is currently producing at approximately 750 thousand cubic feet per day (mcfd), although the well is still cleaning up with the production of frac fluids.
The Pate #5-18 well was drilled with successful results and sales gas contracts have been negotiated. A completion rig is on site and perforation, fraccing and testing will start immediately.
Logs for the Pate #5-18 well show that there are two sands capable of production, the Panola and the primary target Spiro sands. The Spiro sands will be perforated and fracced first and within 30-60 days the Panola will be perforated and fracced and the gas will be comingled to sales.
Interpretation of the 24 square miles of 3D seismic is nearly complete and locations for wells will start being chosen shortly.
Grand Gulf Energy has an 8% interest in the Reed #4-8 well and a 25% interest in the Pate #5-18 well.
The Napoleonville Salt Dome project in Assumption Parish, Louisiana
Grand Gulf Energy has a 25% interest in 33,000 acres over the Napoleonville Salt Dome in Assumption Parish, Louisiana. Historically, the Napoleonville Salt Dome has produced 188 billion cubic feet of gas and 20 million barrels of oil.
After several months of drilling more than 5,000 shot holes, the acquisition of 3D seismic data is expected to be completed in mid July, with interpretation commencing in September.
The Phase 3B Drilling Program in Louisiana
Grand Gulf Energy currently has between 3.75% and 7.5% interest in the Phase 3B Drilling Program in southern Louisiana, in a joint venture with Legend Petroleum, who identified the Phase 3B five well drilling program from a large 3D seismic data set. Demonstrating excellent technical correlation and amplitude analysis, the drilling program is over small lease areas, targeting specific structures. The area is known for high well productivity.
The ConocoPhillips #4 well has been perforated and flowed 3.2 million cubic feet per day (mmcf/d) to atmosphere on a choke of 12/64"at a tubing pressure of 3,800 psi on test. Gas contracts and sales gas pipeline are being put in place prior to putting the well on stream.
At the shareholders meeting today, shareholders also approved and ratified a number of other matters including the issue of shares in the recently announced placement, the issue of shares and options to Macquarie Bank pursuant to its working capital facility and an Employee Option Plan to attract, motivate and retain employees and consultants and encourage their participation in the company through Share ownership.