Allied Energy Corp (AGYP)

[BjornTrader]

The Annie Gilmer Lease https://alliedengycorp.com/annie-gilmer-project/

Allied Energy Achieves Oil Production at the Gilmer Lease Wells

https://www.otcmarkets.com/stock/AGYP/news/story?e&id=2021354

The Annie Gilmer lease could be AGYP’s next producer. The lease is located in the small community of Crystal Falls, Texas on the banks of the Clear Fork of the Brazos river, approximately thirty miles north of the town of Breckenridge, Texas. There are a total of five wells drilled on the lease, that is approximately 300 acres. There are five wells on the lease that were drilled to the Mississippi formation that is encountered at approximately 4100’ below the surface of the earth. The Mississippi formation, when caught on good geologic structure can produce prolific oil and gas cumulative numbers. There were six wells drilled on the lease starting in the mid 70’s with the last being drilled in 1989. Since the initial well, the lease has produced over five hundred thousand (5000,000) barrels of high gravity oil and over five hundred million (500,000,000) cubic feet of very rich natural gas. There are two permitted saltwater injection well on the lease. One of the wells will be re-converted to an active oil and gas producer.

In the same geological study referenced above, the Annie Gilmer lease was found to have Proven, Possible and Probable reserves as follows:

Proved: $6,704,900

Probable: $1,902,200

Possible: $3,587,700

TOTAL: $12,194,800

Again, like we stated above, these numbers are factored at an extremely low price per barrel ($45). Given AGYP’s streamlined approach to exploration, and the current direction of oil prices these reserves will be even more valuable than the above numbers suggest.

That’s only two leases worth a conservative estimate of just over $30 million.