Universal Property Development and Acquisition Corporation (OTCBB:UPDA) subsidiary, Ambient Wells Services, Inc., has entered into a contract with Landmark 4, LLC to complete the renovations and improvements on the 30 leases owned by UPDA subsidiary, Catlin Oil and Gas, Inc., in Jack County, Texas.
The property, known as the Catlin Oil and Gas Field, contains 64 wells, a pipeline and a gathering system. Landmark has been retained to rebuild the entire pipeline and gathering system, including several compressors, workover each of the wells and install new down hole and surface equipment.
Under the terms of the contract, this work is to be substantially completed in no fewer than 120 days with Landmark earning a bonus by completing the work in as few as 60 days.
"Each of the wells we have tested so far has shown significant promise," said Steve Swain, Landmark's Field Superintendent. "Once we complete the workovers and repair the pipeline, I expect this field to generate substantial production. It is obvious that even the most basic of maintenance has not been completed out here for a long time. Under our contract with Ambient, we will have this field operating like new."
Landmark has mobilized hundreds of thousands of dollars worth of field service equipment much of which was purchased specifically for this project and transported 3 of the Catlin compressors to Ohio to be rebuilt from the ground up. Landmark field personnel have taken up residence in the large home located on the Catlin property in order that they may remain on site during the project.
Under a separate agreement, Rockey Well Services of Jacksboro, Texas has already begun the workover of the wells under the supervision of Landmark. Utilizing their workover rig, Rockey has already replaced the tubing and down hole equipment in several of the wells.
"With Rockey and Landmark working side by side, we are optimistic that this project can be completed in 60 days," said Tevy Kaplan, COO of Catlin Oil and Gas, Inc. If that happens, the additional production we will generate should more than compensate for the bonus we have agreed to pay. In any event, we expect this property is going to be returned to maximum production before the end of the year."
The progress of this acquisition will be reported by UPDA as it continues to update its website at: www.universalpropertydevelopment.com.
About UPDA
Universal Property Development and Acquisition Corporation (OTCBB:UPDA) focuses on the acquisition and development of proven oil and natural gas reserves and other energy opportunities through the creation of joint ventures with under-funded owners of mineral leases and cutting-edge technologies.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.
Zurück
