Allied Energy Group, Inc. provided the following report regarding its plans to participate in an additional 8 coalbed methane wells located in Rogers County.
The Company is currently finalizing plans with Insight Energy Corporation to acquire an additional 220 acre lease to rework and re-complete five existing wells and drill three new locations near the Caney River in Rogers County, Oklahoma. Each existing well and new drill location has the potential to commingle production from multiple coal seam formations.
Allied Energy Group, Inc. currently has a reported 15 wells in production, 2 wells being placed into production, 11 wells in completion and/or planned to be re-completed, and a projected 8-10 more wells tentatively scheduled to be drilled by early 2007 in Rogers County with plans to potentially drill and develop an additional 20-25 coalbed methane wells in this same area beginning in 2007. The Company and its investor partners have varying degrees of working interest ownership in each well to be developed.