Key announces gas discovery in Mississippi

Key Production announced a new gas discovery in the Mississippi Salt Basin. The Key-operated Langston No. 1 well, located in Covington County, Mississippi, test-flowed 9.1 mm cf of gas and 456 bpd of condensate on a 26/64-inch choke with 2,200 psi of flowing wellhead pressure.
Perforations were between 14,390 feet and 14,510 feet in the Sligo and Rodessa sand sequences on the south side of the Kola salt dome. Key owns a 35.3 % working interest in the new producer. Other public companies with an interest in the well include Miller Exploration -- 16.7 %, and Remington Oil and Gas -- 16.0 %.
"Pressure build-up and other tests are under way to help in determining the approximate size of this new discovery, but the initial flow rate suggests that we should have a very profitable producer," said Key vice president of exploration Thomas E. Jorden. "Moreover, mapping based on 3-D seismic data indicates that we have other prospective locations to drill around this dome."
Including the Langston No. 1, Key has thus far been involved in five producing wells and one dry hole in the Mississippi Salt Basin. Estimated gross proved reserves for the individual producing wells range from 4.4 to 12.5 bn cf equivalent, and Key's respective working interests in those wells range from 15.5 to 95.0 %.

Key is an independent natural gas and crude oil exploration and production company with operations in the Anadarko Basin of Oklahoma, the Rocky Mountains, the Sacramento Basin of northern California, the Hardeman Basin of north-central Texas and the Gulf Coast of Texas, Louisiana and Mississippi. The company's shares are traded on the New York Stock Exchange.