Continental Resources, Inc.
"This is the first significant Lodgepole discovery in the Dickinson area since the late 1990s," said Harold Hamm, Chairman and Chief Executive Officer of Continental Resources. "Initial wells targeting the Lodgepole formation were drilled in 1993, and since that time 41 producing wells have yielded 55 million barrels of oil and 28 Bcf of natural gas."
Operator for the well is Armstrong Operating, Inc. of Dickinson, ND. "The Laurine Engel #1 appears to be a very strong well," said Mike Armstrong, Chairman and Chief Executive Officer. "Ironically, it's the most significant discovery in my 35 years in the oil and gas business, and I can see it from my house."
The third partner in the well was Tom Jordan, representing Jordan Oil & Gas Company of Healdsburg, CA. The partners plan to drill an offset well later this year. They control approximately 1,500 gross acres (1,200 net acres) immediately offsetting the Laurine Engel #1, with the potential for additional wells, Mr. Armstrong said.
In addition, Continental announced the completion of its Young 2-22H well (55% WI) in Blaine County, Oklahoma, flowing at an average 6.8 MMcfd of natural gas over seven days. The well was drilled to a total depth of 18,633 feet, with a true vertical depth of 13,681 feet in the Anadarko Woodford shale formation, and a 4,952-foot horizontal lateral that was fracture-stimulated in 10 stages. Continental currently controls 117,000 net undeveloped acres in the Anadarko Woodford play, extending from McClain County in the southeast to Dewey County in the northwest portion of the play.
"This further demonstrates the potential for the Anadarko Woodford, and we plan to drill many more wells in this area," Mr. Hamm said.
Finally, the Company announced three completions in the North Dakota Bakken play, all of which targeted the Three Forks/Sanish formation:
-- Rollefstad 1-3H (78% WI) in McKenzie Co. - 1,273 Boepd; -- Dolezal 1-5H (55% WI) in Dunn Co. - 730 Boepd; -- Bratlien 1-35H (45% WI) in Divide Co. - 661 Boepd.
The Company noted that the Rollefstad 1-3H was drilled to total depth of 20,904 feet in 16 days and was stimulated in 16 stages using the "perf and plug" technique. Final completed well cost is expected to be less than $5 million.
Continental Resources is a crude-oil concentrated, independent oil and natural gas exploration and production company with operations primarily in the Rocky Mountain and Mid-Continent regions of the United States. The Company focuses its operations in large new and developing plays where horizontal drilling, advanced fracture stimulation and enhanced recovery technologies provide the means to economically develop and produce oil and natural gas reserves from unconventional formations.
CONTACT: Continental Resources, Inc. J. Warren Henry Brian Engel Investors Media (580) 548-5127 (580) 249-4731
First Call Analyst:
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SOURCE: Continental Resources
CONTACT: Investors, J. Warren Henry, +1-580-548-5127, or Media, Brian
Engel, +1-580-249-4731, both of Continental Resources, Inc.
Web Site: http://www.contres.com/