Victory Completes Deal
Wednesday March 29, 9:00 am ET
LOS ANGELES, CA--(MARKET WIRE)--Mar 29, 2006 -- Victory Capital Holdings Corporation (OTC BB:VTYC.OB - News) announced today it has succeeded in negotiating the joint venture agreement with TD Energy, LLC of Tulsa, Oklahoma, for approximately 7,000 acres in Pawnee County, Oklahoma.
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Victory's initial participation in the project is for 5 wells to be drilled for evaluation of production in the Wilcox, Arbuckle, Woodford Shale, Prue, and Dawson zones. Victory has taken a 45% interest in this upcoming drilling activity. Offset production initially shows new gas wells reaching 2 million cubic feet of gas production per day with a steady rate of 800 cubic feet of gas per day stabilized at the end of several months. Regional aspects of the Cherokee Basin show wells drilled 20 years ago still producing economic amounts.
"Michael Korte, the lead geologist on the Skedee Oil & Gas Development Project, has 25 years experience in similar fields in the Oklahoma area. His review of the subsurface geophysical data from approximately 70 drilled and logged wells in and around the area supports his conservative recoverable estimate of 15 billion cubic feet of gas for the project. In his estimation, each well drilled will recover approximately 3/4 billion cubic feet of gas," stated Jon Fullenkamp, CEO of Victory Capital Holdings.
TD Energy, LLC is an independent oil and gas producer in Okfuskee and Pawnee Counties Oklahoma. TD Energy was instrumental in discovering certain Prue, Gilcrease, Red Fork and Penn Unconformity zones in Okfuskee County. These fields have proven to be highly successful for TD Energy.
