Black Dragon Res INC announces the Completion of well #14 on the Land Co Lease.
Oil City, La., August 10, 2011---Black Dragon Resources Companies, Inc.(Pink Sheet: BDGR) and Dragon Exploration Resources (Frankfurt Exchange 8BD) are pleased to announce that the first joint venture well drilled on the Land Company Lease in Caddo Pine Island has been drilled and logged. The log shows over 10 feet of oil sands, which is very porous. The zone took in some drilling mud, that has to be cleaned out. Management has decided to swab the well to clean out the mud. The well also shows a good sign of producible gas.
There is a gas line hookup in the area, so management is looking into putting in a gas gathering plant so as to sell gas from the wells. Hopefully by the weekend well # 14 will be totally cleaned up and will give us a better idea of production. Both joint venture parties have decided to revisit the chalk zone, which looks very attractive but currently produces very little, but has the highest reserve in place. There is a new theory showing some great results. A new frac has some chalk wells producing around 18-22 barrels per day and hanging in for 35-45 days before it slows down to 9-10 barrels per day. Management feels even if it slows down significantly, company investment will be returned within the flush period.
Joint venture management plan to re-frac # 10 chalk well and if that is successful they will go to # 9, which has never produced in the chalk zone but its log looks great, so the initial production could be over the top.
Management is pleased to announce that BDGR has acquired 5 new oil and gas leases, giving BDGR an additional 230 acres with 19 additional wells with depths to as much as 6500 feet. BDGR has started on one of the leases and hope to have it producing by the end of August.
Certain information discussed in this press release may constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995 and the federal securities laws. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. Readers are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends and uncertainties such as the Company's inability to accurately forecast its operating results; the Company's potential inability to achieve profitability or generate positive cash flow; the availability of financing; and other risks associated with the Company's business. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
Contact: Black Dragon Resources companies, INC
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