Benz Equities announces significant oil and gas discoveries in US

Benz Equities has announced that significant oil and gas discoveries have been made at its Ready Creek Field, Jones County, Mississippi, and the Kenedy Field, Kames County, Texas. Both discoveries were made possible by the use of 3-D seismic and CAEX technology. The company, as operator of the field, is currently completing the Board of Supervisors 16-3 No. 1 well in the Reedy Creek Field in which it has a 22.8% working interest in 1,667 net acres. The initial well was drilled to a total depth of 15,195 feet and encountered three producing intervals in the Cotton Valley, the Smackover and the Norphlet formations between 14,352 feet through 15,095 feet. A total of 204 feet of net pay has been logged in the three intervals with no evidence of an oil-water contact in any of the productive zones. Currently the company is production testing the Norphlet formation between 15,012 feet and 15,095 feet with very encouraging results. A preliminary projection of recoverable reserves from the three productive zones in this well is estimated to be in the range of 3,523,000 barrels of oil. Ready Creek represents a significant discovery for the company. It plans to drill an immediate offset well to a depth of 15,900 feet before March 1, 1997, as the first well of a six well development program scheduled for the field in 1997.
In addition to the discovery at Ready Creek, the company is pleased to announce the successful drilling of the Ruby Young No. 1 well in the Kenedy Field, Karnes County, Texas. The Company has a 19% working interest in 4,466 net acres in the prospect. The initial well was drilled to a total depth of 16,100 feet and logs indicate two pay intervals in the Edwards and Sligo formations. The Edwards interval has 144 feet of net pay in a gross productive interval from 12,898 to 13,196 feet and 13,320 to 13,390 feet. The productive interval is a rudist reef mound which is estimated to have in excess of 60 bncf of reserve potential. Similar accumulations exist on trend with this new discovery. Cores and logs indicate the Sligo reef to be gas productive between 15,790 to 15,820 feet and 15,995 to 16,095 feet. The formation is highly fractured, and significant high pressure gas shows were encountered during drilling operations. The initial completion will be made in the Sligo and an immediate offset well will be drilled to develop the Edwards formation. The reserve calculation has not been completed for this zone. Marketing gas lines in this area are readily accessible. Testing of this discovery will begin immediately.