Sharon Energy (fka sheyf)

[tr8dervic]

Allen Ranch update from HEC today:

"Allen Ranch Field, Colorado County - Texas

GEM owns an 11.25% non-operated working interest in this area. The initial well, the Hancock Gas Unit # 1, was productive in four sands and has increased its production from 2.5 million to approximately 5.0 million gross cubic feet equivalent of natural gas per day. A second well, the Hancock Gas Unit #2, was drilled and logged as productive in the same four sands as the Hancock Gas Unit # 1 well and two deeper zones were also logged as productive. During 2006, the deeper of the two zones has been fracture stimulated and produced about 5.0 million cubic feet equivalent of natural gas per day. This zone has now been shut-in to test the other productive zone in the well bore.

During the second quarter of 2006, the second zone of the Hancock Gas Unit #2 has been perforated, fracture stimulated, and tested at commercial rates. Two other zones have now been fracture stimulated and tested. Once testing is competed, a temporary bridge plug will be removed and the various horizons commingled for long-term production. Stabilized production rates should be established during the fourth quarter of 2006."

http://biz.yahoo.com/iw/060717/0144764.html