Sefton Resources, Inc. provides an update on oil & gas exploration and production (E&P) operations in Kansas via its wholly-owned subsidiary TEG MidContinent Inc (TEG MidContinent).
Highlights:
■ Kansas oil production increased to approximately 450 barrels a month in May 2013, from approximately 400 barrels in both March and April 2013.
■ Obtaining clear title on the Dark Horse Operations assets (Leavenworth County, Kansas) is nearing completion. This will allow the Company to complete the acquisition of these assets, which includes 14 well bores. The working interest will increase from 42% to 100%, increasing reserves in Leavenworth County.
■ Additional oil production is expected in the near future through the ongoing programme of workovers and recompletions on a number of wells in proximity to the Company's 100%-owned pipeline system. To further improve oil recovery at the Dark Horse Operations, the Company has applied for a waterflood permit.
■ The successful leasing programme in Eastern Kansas continues and discussions are taking place to secure additional leases in this project area.
■ Negotiations have now reached an advanced stage with a potential supplier of third party gas in Leavenworth County. This gas should increase TEG Transmission's inventory of gas capable of being marketed through its transportation system
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Sefton Resources
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