Garland, TX -- (ReleaseWire) -- 06/23/2014 -- Cannon Operating is excited to announce the availability of Working Interest in the newly developed Caddo Lake Project. This prospect is a multi-pay drilling project located in Caddo Parrish Louisiana. Currently Caddo Parish production is just over 187K barrels/month.
Cannon Operating LLC is an oil and gas exploration company founded in response to the current market’s stagnant status and instability.
The Goodland Lime oil reservoir at Longwood Field is an up-dip angular truncation play, as the Goodland comes up uncomfortably beneath the Austin Chalk. This is the same angular unconformity (old erosional surface) that sets up the Woodbine sand pay at the famous “East Texas” field just to the west. As one goes east from the East Texas field towards the Longwood area, erosion at this unconformity has truncated several hundred feet of Lower Cretaceous, right down to the Goodland, which is also truncated farther east of the field area.
The majority of the production in the Goodland formation has come from the A section and the B and C have virtually not been produced at all. The company also believes with the new information these zones will also be great candidates for commercial production.
Based on 5% working interest of $240,000. At 240 Barrels of Oil Per Day @ $90./barrel x 365 days -.09% severance tax X 75% NRI - $72,000 operating expenses x 5% Working Interest =
$265,441.50 per year based on the purchase of one unit for a return of 110%.
How and Why of Cannon Operating
Cannon Operating LLC has made 2 “new field discoveries” using technology that is on the cutting edge; one of them using tellurics and the other was discovered using hydro-carbon imaging. The company have used these methods as well as the subsurface geology, 2&3-D seismic and a term used loosely in their business referring to the surrounding production that The company call “close-ology” (or simply, identifying the reserves). The company reserve a percentage of the working interest of these projects for theirselves (Not a carried working interest). That’s what being a partner is. Being one of the participants, they rely heavily on the production of each well they drill. Having a vested interest in each of their projects keeps things on an even playing field, making their production rates higher and their operation costs significantly lower.
About Cannon Operating
Cannon Operating (http://www.cannonoperating.info) is an oil and gas exploration and production company founded in response to the current market’s stagnant status and instability. Protruding from a market that’s clouded in a haze by over promoted projects and wildcat operations, Cannon Operating is set upon setting itself aside from these types of ventures.
Contact Cannon Operating
President & CEO William Baker
3200 Broadway Blvd. Suite 220
Garland, TX 75043