LONDON, April 19, 2011 (GLOBE NEWSWIRE) -- Alamo Energy Corp. (OTCBB:ALME) is pleased to announce that following its acquisition of KYTX group of companies Alamo has outlined a strategy to develop the assets.
Alamo has identified that 25 of the 71 existing wells require completion. In order to quickly boost production, Alamo is investigating methods to optimize production rates such as conducting advanced multi-stage fracs and innovative completion techniques whilst utilizing the company's in-house workover capability with KYTX Drilling and KYTX employees.
We believe many of the existing wells can also be recompleted in different zones to increase production at a low cost. The wells produce from the Devonian Shale and Big Lime formations with current production rates at 300,000 mcf per day per day. We believe that following our improved completion procedures we will add up to 350,000 mcf per day of production.
Alamo believes the land-to-resource ratio enables 20-acre spacing, which will allow for up to 131 additional wells. The extensive pipeline infrastructure in place will be able to accommodate the increased production up to 9,000,000 mcf per day.
Allan Millmaker, Chief Executive Officer, commented: "Inline with Alamo's strategy of aggressive expansion in the Appalachian basin we have already identified areas where we can increase production. Planning to recomplete the wells is underway and we believe operations on these wells will commence shortly. With our strategic acquisition of infrastructure such as the pipeline and drilling company which we believe will not only create a robust platform for expansion but also reduce the time to production."
About KYTX Group of Companies.
The KYTX group of companies are wholly owned subsidiaries of Alamo Energy Corp and are located in Knox County, Kentucky in the Appalachian basin. The companies are KYTX Oil & Gas, KYTX Pipeline, and KYTX Drilling Company. Together, they contain 71 wells located on 4,040 acres, a 23-mile strategic pipeline network capable of handling up to 9,000,000 mcf connected into the Delta system and one drilling rig, one service rig and associated well-servicing equipment.
About Alamo Energy Corp.
Headquartered in London, England and with operational offices in Houston, Texas, Alamo Energy Corp. (OTCBB:ALME) is an independent company focused on the exploration, development and production of onshore oil and gas reserves in the United Kingdom and United States. The company's UK exploration program is focused on four blocks spread over 400 square kilometers in an onshore oil and gas province in South East England. Alamo's U.S. operations are focused on the development of assets in Texas, Kentucky, Tennessee and West Virginia. For more information visit www.alamoenergycorp.com
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CONTACT: Alamo Energy Corp. Investor Relations Adam Holdsworth +1 212-825-3210 email@example.com