Oil Production Increases in Tennessee
HUNTSVILLE, Tenn. -- Three new oil wells have been put into production in Tennessee. Miller Energy Resources, Inc., headquartered in Huntsville TN, states that it has successfully completed the wells and plans to drill 12 new wells and rework 100 existing wells in Tennessee within the next year.
Miller drilled two of the wells on a 2,400 acre farmout agreement on the Baker-Senior lease in Scott County, Tennessee. The Baker-Senior #1Mill well reached a total depth of 2,520 feet and has been put into production at 58 BOD (barrels of oil per day). The Baker-Senior #2Mill well reached a total depth of 2,492 feet. This well has been put into production at 36 BOD. The well also produces natural gas, which is separated at the surface and sold to the existing gas pipeline.
In addition, Miller drilled the Lindsey #24 well in Campbell County, Tennessee to a total depth of 4,860 feet and completed the well in both the Big Lime and the Ft. Payne formations. The well had an "open flow" rate of 2.3 million cubic feet of gas per day. The well has been put into production at 300 mcf (thousand cubic feet per day). Miller owns a 50% interest in the well.
"These are excellent projects for Miller, as they pay out in less than a year, add to our reserves and will produce for 20 years or more," said Miller CEO, Scott M. Boruff. "These results bode well for our development plans in Tennessee. We have an aggressive drilling and well rework program planned for the next year which will add significantly to our bottom line while allowing us to continue to be a major employer in Scott County which has the highest unemployment in the state."
Miller Energy Resources, Inc. is a high growth oil and natural gas exploration, production and drilling company operating in multiple exploration and production basins in North America. Miller's focus is in Cook Inlet, Alaska and in the heart of Tennessee's prolific and hydrocarbon-rich Appalachian Basin including the Chattanooga Shale. Miller is headquartered in Huntsville, Tennessee with offices in Anchorage, Alaska and Knoxville, Tennessee.
SOURCE Miller Energy Resources, Inc.
Published May 20, 2011
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