|Swift Energy Announces Successful Completion of Significant Confirmation Horizontal Well
HOUSTON, September 24, 1996 – Swift Energy Company (NYSE, PSE: SFY) announced
today the completion of the Strange No. 1-OL, a confirmation well drilled in an area under
joint development agreements with Union Pacific Resources (UPR) and Chesapeake Energy
Corporation (CHK) in the Giddings Field, Fayette County, Texas. The dual horizontal well
produced at a rate of 9.8 million cubic feet of natural gas and 962 barrels of 56º API
gravity condensate per day on a 22/64" choke from the Austin Chalk formation with a
flowing tubing pressure of 4,950 psi. The well had tested at calculated flow rates in
excess of 60 million cubic feet per day during the initial flow periods during well
cleanup. Swift Energy is operator of the well and owns a 33.4% working interest,
Chesapeake 36.3%, UPR 15.9%, Belco Oil and Gas Corporation (BOG) 3.2%, and the remainder
is owned by other private parties.
The Strange No. 1-OL is located on a production block adjoining the Swift operated
Albers Unit No. 1-OL well whose completion was announced on May 3, 1996. The Albers well
was placed on production at a rate of approximately 12 million cubic feet of natural gas
and more than 400 barrels of condensate per day. The Albers well produced on a recent test
at 11.4 million cubic feet of natural gas and 410 barrels of condensate with a flowing
tubing pressure of 2,525 psi. A third well, the Fourticq No. 1-OL has been drilled on
another production block adjoining the Albers well and is currently awaiting pipeline
hookup before production testing. The Fourticq well showed similar characteristics to the
two completed wells during drilling. This well activity is being conducted under a joint
development agreement with UPR covering approximately 10,000 acres in Fayette County.
Swift has initiated drilling on another acreage block adjacent to the joint development
acreage by moving the rig from the Strange well to a new location. This acreage block
contains approximately 7,000 acres to the east of the UPR joint development area and is
owned 100% by Swift Energy.
Commenting on the test, A. Earl Swift, President and Chairman, said, "The success
seen with the confirmation test of the Strange No. 1-OL well and the positive drilling
indication from the Fourticq No. 1-OL well continues to add to our confidence in this
significant area. During 1996 Swift will drill a total of eight (8) wells in this field
with plans to drill 8 to 10 wells in 1997."
Based in Houston, Swift Energy Company is an independent oil and gas company engaged
primarily in the exploration, development, acquisition and operation of oil and gas
properties, with an emphasis on domestic natural gas. Swift has a record of growth that is
founded on an ambitious program of disciplined exploration and reserve development,
conservative financing and innovative management.