First Titan Corp. (FTTN) is currently focused on exploring and developing oil and natural gas resources in the southern region of the United Sates, but has a worldwide growth strategy in place. The company continually seeks to partner with energy developers that are pursuing innovative new methods of oil and gas extraction, including the development of new technologies, cleaner methods, and unconventional resources.
FTTN has acquired multiple working interests with established oil exploration companies to deliver new hydrocarbons to an ever-growing market. As the company maintains drilling activities at its acquisition in South Lake Charles, Louisiana, it is looking to continue adding to its asset base that includes five new wells along the Gulf Coast, from West Texas to Alabama.
Global demand for energy is rising fast as the vehicle populations of emerging nations such as China, Brazil, and India continue to soar. U.S. exports of petroleum products have reached 2.6 million barrels a day, which is double the level of three years ago. As demand for global energy resources rises, the U.S. is poised to become an international supplier.
New innovations in drilling and rising global demand have positioned FTTN as a premier early-stage company with strong growth potential. By utilizing cutting-edge technology to extract oil and gas resources, the company is able to recover fossil fuels that were once considered too difficult or too expensive to recover.
- Harnessing the Opportunity to Further Develop Existing Wells
- Using Cleaner, Advanced, More Productive Technologies
- Pioneering Fresh Resources to Support Needs of Tomorrow
- Incredible Growth Opportunity and an Aggressive Game-Plan for Success
Logan County, OK Project
The Breaux #2 horizontal well is FTTN’s fourth working interest that it has acquired this year. The momentum for development of oil and gas resources in North America has been incredible, with the company taking full advantage of exciting new opportunities, be them onshore or off.
We’re leveraging the skill and dedication of experts in the industry as well as cutting-edge drilling technology in our drive to be leaders in this sector. FTTN is poised for dramatic growth as we continue to spearhead new initiatives in the exploration and development of domestic energy resources.
The Breaux #2 well is located in Logan County, Oklahoma and has already been drilled and cased to a vertical depth of 5,600 feet with a further 2,300 feet of lateral depth in the Hunton Clarita pay zone. The well sponsor, Bedford Energy, Inc., claims that Breaux #2 contains petroleum engineered proven reserves of 160,000 bbls of oil and 1.5 million mcf of natural gas, estimating potential production at more than $14 million worth of resources.
Bedford Energy specializes in identifying prospects that have significant upside potential. The company has experience in recovering, managing supervising and completing U.S. Mid Continent gas and oil projects and wells.
The horizontal well is being engineered for completion using Packers Plus QuickFRAC, a new technology capable of fracturing 60 stages downhole while only pumping 15 treatments at surface. This new system is the first of its kind in the drilling industry.
The Packers Plus QuickFRAC system is a technology that enables operators to increase the number of fractures in a single treatment operation and allows you to fracture several isolated stages at one time through a process known as batch fracturing. For each treatment zone, the QuickFRAC system includes a number of QuickPORT™ sleeves flanked by RockSEAL® II packers. This configuration creates multiple, individually isolated stages within a single treatment zone. Each treatment zone is activated by an actuation ball, which is available in multiple sizes, enabling several batch fracturing zones to be stimulated in succession with the biggest ball size at the top.
Through a detailed process of research and development and by using consistent pumping rates, this new system will evenly distribute the batch fractures in a select zone of the wellbore, thus greatly reducing water usage.
Hughes County, OK Prospect
Gates #1 S14
FTTN signed an agreement with Green Oil Operating, LLC, to explore the infield development of oil and gas resources in Oklahoma. The reentry well project is located just three miles south of the town of Atwood, Oklahoma. The Gates #1 S14 Hughes County OK Prospect is set in the northern portion of the Pauls Valley Uplift just west of the hinge line of the McAlester-Arkansas deep structure, where folding and faulting is strong. The well has several oil and gas target formations as well.
Currently, the prospect is next to a well in production in the Wapanucka Sand/Lime, on a large up-thrown fault block with known oil and gas reserves currently being developed under the tract. The Warren S14 Hughes County OK #1 was completed in the Wapanucka Formation (3840'-3860') with initial gas production of over 1 million cubic feet of gas per-day with very little water. This well made over $1,300,000 of gas before showing signs of water production. The off-setting wells in the four-section area have produced over 23.9 bcf of gas and over 794,919 barrels of oil to date from a plethora of Pennsylvanian formation s with a minor amount of oil being produced from an Ordovician Formation.
A petroleum geologist's report on the prospect estimated that Gates 1-14 could contain 200,000 barrels of oil or gas equivalent recoverable in place. FTTN expects that the low-risk project could yield substantial returns.
The Gates 1-14 will be a direct offset to the key well, Warren 1-14. The proposed well will be re-worked, and drilled to the target depth of 4,500 feet through the Calvin Sand, as well as testing multiple target zones down hole.
Calvin Sand Estimated Reserves:
Upper Calvin Sand Zone (1790' - 1796')
- 6' sand X40 acres drainage (oil) X 20% prosity
- X 33% water saturation / 1.1 volume factor
- X 15% recovery factor (oil) @ 50% of geological estimates
Upper Calvin Sand Zone (1800' - 1806')
- 6' sand X40 acres drainage (oil) X 20% prosity
- X 33% water saturation / 1.1 volume factor
- X 15% recovery factor (oil) @ 50% of geological estimates
Big Canyon Texas Project
The Big Canyon Prospect covers approximately 640 net acres in Terrell County in West Texas. FTTN acquired the majority working interest in the lease from Mesa Chica Geophysical, Inc. The company now owns the right to drill one well on the lease within six months and a second well in the six months following the first term.
2D seismic data collected on the lease indicates promising production potential.
The lease is directly adjacent to a property where SandRidge Energy Inc. has identified a large quantity of oil and gas resources with high production potential.
FTTN will release more details on the Big Canyon Prospect as work continues toward spud. The company continues to explore new oil and gas opportunities in West Texas and elsewhere in the states along the Gulf Coast.
The South Lake Charles Prospect
The South Lake Charles Prospect is located 7 miles south of the city of Lake Charles in Calcasieu Parish, La., in Section 19, Township 11 South, Range 8 West. It is a Middle Oligocene age geo-pressured prospect located in the middle and lower hackberry sands. Intrepid Drilling plans to drill a 15,300' high geo-pressure land well in the South Lake Charles Field where two wells have produced 21.3 billion cubic feet of gas and 1.7 million barrels of oil. There is a proved trapping fault block on the West flank of the field, up-dip to production. This is a subsurface well control prospect integrated with 3-D seismic.
Intrepid Drilling will operate the well. The company has determined substantial up-dip reserves remaining in each of two fault blocks. The most likely case for proved and probable reserves is 26 BCFG and 2 MMBO. The total maximum potential for all categories exceeds 60 BCFG and 4 MMBO. FTTN has the right to participate in a second well, a 14,800' test in the Northern fault block to recover proved, undeveloped reserves in the Lower Hackberry sand up dip of the Moran Exploration No. 1 Burton, which produced 16.7 BCF Gas and 1.3 MMBO.
Leveraging the Unmatched Expertise of Intrepid Drilling
Intrepid Drilling has been a standout oil and gas exploration company. The company invests only in known, producing areas that it believes will yield prolific production, making Intrepid the ideal partner for FTTN in its first well acquisition.
The company is aggressive in gaining interest in leases that will produce desirable returns and utilizes leading technologies and methods to maximize exploration and production results and ROI.
Production estimates for the South Lake Charles well reveal that an amazing 60 billion cubic feet of gas and four million barrels of oil could be extracted. Intrepid Drilling owns rights to all depths in 453 contiguous acres at the prospect and plans call for the company to drill to a total depth of 15,300 ft. at the project location. FTTN and its investors are poised for production and financial success as work gets underway.
Lafourche Parish, LA Project
In October 2012, FTTN announced the acquisition of a working interest in the Lake Boeuf Field in Southeast Louisiana. The field, which covers 300 leasehold acres in Lafourche Parish, joins the company’s portfolio as its sixth working interest.
The prospect is a 12,025' TVD directional well and will be drilled utilizing a land rig. The trap is structural closure bounded by two faults which form a wedge shaped block. Approximately 50' of structural advantage should be gained over the downdip wells. Reserves are estimated at 11 billion cubic feet of gas and 880 thousand barrels of heavy oil condensate based on downdip LKO in the Hunt (Badger) C-1 well. The downdip wells produced 3.5 billion cubic feet of gas and 352 thousand barrels of heavy oil condensate.
Conecuh County, AL Project
Production is now underway at First Titan’s new oil well in the Little Cedar Creek Field in Alabama.
The well is located in the Little Cedar Creek Field, Alabama’s largest producing oil field. The site location is surrounded by wells with a history of oil production, and the success of these wells as well as promising geological data have FTTN executives excited about the new well’s prospects.
The well is currently producing slightly more than 400 barrels of oil and 350 thousand cubic feet of gas on average per day, with no water and no hydrogen sulfide. State law limits production from a well to 400 barrels per day. The well is currently producing with a flowing tubing pressure of 440 psi on 16/64ths choke.
The Alabama well is FTTN’s first producing well, located in Conecuh County, Ala. Current reserve estimates range from 400,000 to 800,000 barrels of oil.
- The East offset to the proposed well is a Sklar operated well currently producing/flowing 215 bbls per day. The well is capable of a higher daily production rate but this lower lobe of the Smackover is about 15 feet above the water per the logs – so Sklar is being very prudent by not drawing too heavily on the reservoir.
- There are two more possible productive zones above the present producing zone that look better. The well in the NW/4 quarter is expected to be higher on structure, which may make the lower zone capable of being produced at higher rates if that lobe is present in the proposed well bore and well away from the known water level.
- The Southeast offset is presently producing in excess of 160 bbls per day on pump. This is also a Sklar-operated well.
- The North offset has been staked and is being permitted for drilling by Pruet Production Co. (formerly Midroc Operating). Midroc was operator who discovered Little Cedar Creek Field and presently has more than 80 wells producing in the field from the Smackover.
- Pruet has a diagonal offset to the Northwest in the SE/4 of Section 247 which tested 392 bbls per day.
Global demand for energy is rapidly accelerating as the populations of countries such as China, Brazil, and India increasingly turn to automobiles for transportation. New breakthrough innovations in technology have made the U.S. the front-runner in the search for hydrocarbons.
The Department of Energy’s initial 2012 Annual Energy Outlook (AEO) reference case forecasts a growth rate increase of 20% in U.S. crude production over the next decade. Net petroleum imports are expected to drop from 49% of total domestic consumption in 2010 to 38% in 2020.
The Paris-based International Energy Agency, in its World Energy Outlook, forecasts that the United States will take the lead over Saudi Arabia as the net exporter and top producer of oil before 2020. Further, the IEA expects that the U.S. will be energy independent by 2030.
The United States currently imports around 20% of its total energy needs, but if IEA projections are correct, the nation will become all but self-sufficient in net terms -- a dramatic reversal of the trend seen in most other energy importing countries, says the IEA.
According to Forbes, Texas’ oil production represents approximately 30% of the total United States output; that number reached 34.5% in May when the Lone Star State averaged 2.525 million barrels per day, the highest daily output for the state since April 1982. By the end of the year daily oil production for Texas is expected to exceed 3 million barrels per day.
Texas is also a stellar producer of natural gas, accounting for just over 27% of U.S. production in May. If Texas were a country, it would rank No. 3 among all nations in natural gas production, behind Russia and the other 49 U.S. states.
Spurring the booming production numbers is the fact that Texas has 832 drilling rigs, almost 50 percent of all land rigs in the U.S., and fully 25 percent of all rigs working across the globe.
FTTN sees the opportunity, operating as a well-oiled machine, doing whatever it takes to be a leader in the North American oil and gas sector.
Insiders are calling this shift in energy power the new American oil boom and FTTN is positioned to build a portfolio investors are proud to back!
Robert Federowicz – Interim Chief Executive Officer, Director
Robert Federowicz has more than 20 years of experience as an entrepreneur and executive in the United States and in Poland. In addition to his current role at FTTN, Federowicz continues to serve as part-time CEO for the Aristocrat Group Corp. (ASCC), a vodka/women's health company, as well as part-time CEO of robotics/mobile apps developer, Quantum International Corp. (QUAN).
In the early 1990s, Federowicz served as project manager and government liaison for a small private U.S. energy development company, Hart Associates, Inc., working with the Polish government to facilitate the privatization and modernization of several coal-fired power plants. In 1994, he moved to the U.S. and continued to be involved in the development of various international power projects with Coastal Power Company, a subsidiary of the Coastal Corporation. In 1999, he was appointed chief information officer for Hart Energy International, where he helped lead the company’s startup and growth efforts before eventually assisting in the company’s multi-million dollar merger with the UK-based Commonwealth Development Corp.
From 2005 through 2009, Federowicz was an owner and operator of a fitness gym in Houston, Texas. During 2010, he served as an account executive for Screentek, Inc., a seller of LCD screen technology for laptop computers. From December 2010 to September 2011, Federowicz was the CEO of Obscene Jeans Corp., a designer and manufacturer of specialty fashion products.