Morgan Creek Energy Corp. reports on the completion drill rig results from its Boggs #1 well, a 4,200′ Ouachita Overthrust test well located in McLennan County, Texas.

Company Geologist, Thomas Markham, working with Schlumberger Inc.’s gas field technical team has established that Schlumberger Oil Field Services perforated gas sands from 3,896′ to 2,830′ overall in MCRE’s Boggs #1. Based on open hole log evaluation and gas shows encountered while drilling, five separate reservoirs were selected for production testing. During production testing and evaluation, four of the five tested zones produced significant volumes of natural gas. Analysis of the gas indicate a “sweet”, condensate rich gas with BTU values over 1,000. This gas quality will yield a premium price over the current U.S. average natural gas sales price.

From a geological perspective, MCRE’s Boggs #1 has sand reservoirs similar to both model fields — the Pinon Field (Pecos County, Texas — 275 BCFG) and the Potato Hills Field (Latimer County, Texas — 165 BCFG).

As formation water was also produced with the natural gas in the tested zones, the Boggs #1 is currently under evaluation.

It is believed that the Boggs #1 well represents the first significant Ouachita-trend gas production in the McLennan County area and the Central Texas region. Schlumbergers’ findings and the geological and land team of Morgan Creek Energy, which has a first-in position in the development, support this view.