American Petro-Hunter Reports Seismic Results
American Petro-Hunter, Inc. (AAPH) shares jumped more than 10 percent, along with others in the industry like Precision Petroleum Corporation (PPTO) and Royale Energy, Inc. (ROYL) during today’s session, following the release of its seismic results on the Victory Gas Project.
American Petro-Hunter, Inc. [[AAPH.OB]], an oil and gas exploration company, announced that it has completed 3D seismic reprocessing and interpretation of the survey on the 668 gross acre Victory Gas Project in southern Sacramento Valley where gas prices are currently hovering around $3.25 per MCF.
Based on the reprocessed data, the total gas from the first pool is estimated at 3.567 BCF with an additional 1.0 BCF from a separate pool, with the total potential of Victory being approximately 4.67 BCF. Meanwhile, engineers suggested that the target has a relatively low risk, high probability of success.
Revenues from the project could come very quickly given that the well is only one-third of a mile from the pipeline that would enable gas sales. The company anticipates that, in the event of a commercial gas well being completed, a projected initial production rate could be around 2,000 to 4,000 MCF per day, or 500 and 1,000 MCF per day by Q4 2009 for American Petro-Hunter.
Given that gas prices are around $3.25 per MCF, this would equate to potential gross income of $1,625 to $3,250 per day by the end of the year. In the end, this is a substantial opportunity for the American Petro-Hunter that long-term investors may want to take a closer look at as it materializes.
CONTACT: 888-288-5215 · Please read our Full Disclaimer pertaining to this article.