America Resources Exploration Inc (OTCBB:AREN) reported that it commenced a rework plan on its Burns and Rogers leases based in Frio and Atascosa County, Texas. It intends to rework on most of its wells, producing and non-producing. Also, the rework plan includes the measures to restart the shut wells and get them back into production.
The buzz
America Resources has been working on location set up from last few years. It was orchestrating on various set up aspects including equipment delivery. The company’s operator, Diamond Energy, is assigned with the responsibilities of the rework plan. Also, the company is soliciting bids from numerous service providers to fulfill other completion tasks and oil field service needs.
Huang Yu, the Chief Executive Officer said that they are thrilled to venture into the development phase of Rogers and Burns leases. The price for these assets and the acquisition decision were based on the degraded and inactive status of the existing wells. As America Resources team works on program, the accretive potential of the completed deals will be recorded. It provides validation of existing business model of the company. The management expects to report growth in field production as an outcome of the rework program by early September.
The updates
America Resources will be releasing media footage which includes videos and photos on its website. The footage will cover all the activities covered in the rework plan so as to keep investors updated on developments. The company is actively engaged in the exploration and production of oil and gas resources. The main focus is on the acquisition of assets in regions with considerable oil reserves and drilling prospects.
In last trading session, the stock price of America Resources Exploration Inc (OTCBB:AREN) jumped more than 21% to close the trading session at $0.410. The gains came at a share volume of 2.85 million compared to average share volume of 208,285.
