Saturn Oil + Gas Inc. is pleased to announce it has entered into an Asset Exchange Agreement with a major Viking producer and successfully completed drilling operations on its first two Viking horizontal wells.
Saturn has transferred 50% of its net working interest in one section of land in the Lucky Hills pool, with rights from surface to base Viking, in exchange for two contiguous sections of 100% working interest, with rights from surface to base Viking in the Flaxcombe area. The asset exchange will allow Saturn to maintain a non-operating 50% working interest in Lucky Hills, while continuing to grow in the Flaxcombe area.
Saturn has also completed drilling operations on its first two Viking horizontal wells in the Flaxcombe area. The completions program for the first two wells will consist of a 23 stage frac on the first well and a 24 stage frac on the second. The Company will be commencing completion operations in the coming week with production testing to follow.
"This asset exchange aligns with our corporate strategy and has allowed us to further build our position in the Flaxcombe area. Our technical team has continued to de-risk and identify drill locations in our Flaxcombe holdings and this asset exchange has allowed us to tie our land together to eight sections of contiguous working interest," stated John Jeffrey, CEO at Saturn Oil + Gas Inc.