The Wylie #1 went into production at a restricted rate, which stabilized at 1050MCF per day.
Royale expects the production to climb closer to the test rate of 2048MCF per day, as the initial flow data is evaluated. The Wylie #1 was drilled three miles southeast of the first discovery well, the Goddard 7-1, which is also expected to begin the gas sales early in the first quarter.
The recent storm caused temporary delays in the installation of pipeline and drilling activity. These operations are expected to resume in the first week of January.
The new production is being sold into the California gas market that has risen to a $6.21 per MCF. The increased cash flow will add to the company’s drilling investments.
