?1 U.S. Oil & Gas Corp. of Salem, Ill., has scheduled a 3,000-ft. wildcat targeting Silurian about six miles northwest of Sandoval in eastern Clinton County, Ill. Drilling about two miles from Boulder East Field, #1 Speiser is in Section 32-3n-1w. Boulder East Field has produced 330,000 bbl. of oil from 11 wells tapping Devonian at depths above 3,000 ft. Gifford Operating Co. currently operates Boulder Field Unit, which produced 1,700 bbl. of oil during March 2008. Wells on two leases that are operated by Oelze Equipment Co. have been averaging about three bbl. of oil per day.

2 Illiana Energy Ltd., Flora, Ill., is drilling a remote wildcat about four miles northeast of Paris, Ill., in the northern Illinois Basin to a target in Siluro-Devonian sediments. The #16-1 Utterback, in Section 16-14n-11w, eastern Edgar County, is projected to reach total depth at about 3,000 ft. The closest Devonian production is about 10 miles south-southeast in Elbridge Field, a multi-pay pool discovered on a reef structure. At last report, Elbridge Field was averaging about 19 bbl. of oil per day and had cumulative production of 1.3 million bbl. Dudley Field, discovered in 1948, is about 12 miles southwest and has produced more than 4 million bbl. of oil from shallow Pennsylvanian zones above 500 ft. In April, the field produced almost 5,300 bbl. of oil.

3 According to Michigan Oil & Gas News, a drilling permit has been issued to Traverse City, Mich.-based O.I.L. Niagaran LLC for a 5,400-ft. exploratory test targeting Devonian Richfield in north-central Michigan, about 10 miles northeast of the town of Marion. The #D4-24 Henkel will be drilled in Section 24-21n-6w, Clam Union Township, southeastern Missaukee County. The planned well is about one mile from shallow Michigan stray and Antrim gas producers in Cranberry Lake North Field. Detroit River/Richfield zones produce oil above 5,200 ft. in the Cranberry Lake area, and the field also has pays in Traverse, Dundee and Prairie du Chien.?

4 West Bay Exploration Co. of Traverse City, Mich., has six new Trenton/Black River producers. According to Michigan Oil & Gas News, #4-2 Kilbourn Farms, in Section 2-2s-5w, Rice Creek Field, Marengo Township, was completed at an initial potential of 200 bbl. of 42-degree oil and 60,000 cu. ft. of gas per day from an acidized Trenton interval perforated at 4,440-45 ft.; #5-2 Kilbourn Farm produced 200 bbl. of oil with 65,000 cu. ft. of gas daily from 4,419-29 ft. in an acidized Trenton interval; and #1-2 Rigelman & Kilbourn produced identical gas and oil from Trenton at 4,450-70 ft.
The #1-26 Jacoby, in nearby Section 2-1s-5w, produced four bbl. of oil and 150,000 cu. ft. of gas per day from 4,556-66 ft. in Trenton-Black River.?In Section 1-2s-5w to the east, West Bay completed #4-1 Hoffman, producing five bbl. of oil, 80,000 cu. ft. of gas and 120 bbl. of water per day from Trenton at 4,602-08 and 4,618-24 ft. In Lee Township to the north, #1-23 Mullett, Section 23-1s-5w, in Cal-Lee Field, made 160 bbl. of 42-degree oil and 80,000 cu. ft. of gas per day from an openhole interval at 4,697-4,747 ft.

5 IHS Inc. reports Gaddis Gas Co., Gray, Ky., has permitted a multi-well program along the Cincinnati Arch in Adair County, Ky. The operator plans to drill more than a dozen wells to depths of 2,499 ft. in Knox, in an area within 10 miles southwest of Columbia, Ky. The wells lie in 3-G-51e, 9-G-49e, 20-H-50e, 13-H-50E and 21-H-50e, in Gradyville and Columbia quads. An unnamed New Albany shale field is in the area.

6 In Kentucky’s Knox County, #2 Jones Bryan, also operated by Gaddis Gas Co., is a vertical extension that is producing 125,000 cu. ft. of gas per day from an unnamed Big Lime Field in Heidrick Quad, seven miles northwest of Barbourville, Ky. The #2 Jones Bryan, in 24-F-67E, was drilled to 2,130 ft. and is producing from openhole Clinton intervals at 1,276-2,130 ft. Log tops were recorded for Little Lime at 1,275 ft.; Pencil Cave at 1,390 ft.; Big Lime at 1,410 ft.; Waverly at 1,665 ft.; Devonian, 1,910 ft.; and Clinton at 2,035 ft.

7 Bass Energy Co. Inc., of Fairlawn, Ohio, drilled a producer in Cuyahoga County, Ohio. The #1-d Heffern Unit, in Tract 2, Mayfield Township, Mayfield Heights Quad, is about one mile west of Gates Mills. The extension made five bbl. of oil and 200,000 cu. ft. of gas per day from fractured perforations in Clinton between 3,308-52 ft. Log tops include Big Lime at 1,520 ft.; Lockport at 2,740 ft.; Little Lime at 3,210 ft.; Packer Shell at 3,260 ft.; and Clinton at 3,286 ft. and Medina at 3,452 ft. Total depth is 3,505 ft.

8 North Coast Energy Inc., headquartered in Akron, Ohio, has a new producer in Vernon Township, Ohio, in an unnamed Medina field. The #1 Heberling R is producing 40 bbl. of oil and 300,000 cu. ft. per day from six intervals in Clinton between 3,878 and 3,947 ft. The #1 Heberling was drilled to 4,151 ft. and is in Lot 1, Kinsman Quad, about five miles north of Orangeville.

9 A Fayette County, W.Va., vertical completion by Cabot Oil & Gas Corp., Houston, produced 1.28 million cu. ft. with a shut-in tubing pressure of 480 psi. Drilled in Valley District, Gauley Bridge Quad, Gauley Mountain Field, to a total depth of 2,900 ft., #6 Newman was fractured, acidized and perforated in Big Injun between 2,538-87 ft. Cabot is active in West Virginia with multiple rigs drilling in Boone, Logan, McDowell, Putnam and Monongalia counties.

10?An oil and gas lease sale by the Pennsylvania Department of Conservation and Natural Resources drew high bids totaling some $190 million for 18 tracts encompassing more than 74,000 acres in Tiadaghton, Loyalsock and Tioga state forests in northern Pennsylvania’s Lycoming and Tioga counties, averaging $2,563.89 an acre. Seneca Resources Corp., a unit of Williamsville, N.Y.-based National Fuel Gas Co., was high bidder on five tracts. ExxonMobil Exploration Co. submitted high bids totaling $22,374,289 on six parcels. Anadarko Exploration & Production Co. LP was high bidder on four tracts, offering a total of $27,803,584. Fortuna Energy Inc., a subsidiary of Calgary-based Talisman Energy Inc., bid $49,233,243.18 for two parcels, and Hunt Oil USA Inc. of Dallas submitted a high bid of $5,105,945 for a single tract. The highest per-acre bid was on 5,741-acre Tract 587, which drew an offer of $5,837.68 an acre from Fortuna. That firm also won Tract 594 (3,598 acres) for a bid of $4,368.85 an acre. Five other companies competed for the former lease, and six for the latter.

11 The Pennsylvania Department of Environmental Protection is issuing new Marcellus drilling permits, including 73 permits since August 12 and more than 250 permits in 2008. However, new permits have restrictions and regulations to protect water resources. Updated rules developed by the department that directly affect oil and gas operators include regulations on drilling of water sources, anticipated water-resource impact, and drilling fluid disposal.
The state developed the permitting plans with input from river-basin commissions and oil and gas companies to address water quality, environmental impact and the potential investment of billions of dollars for Marcellus shale development. A recent study by Penn State University has estimated the economic value of the Marcellus shale formation at $1 trillion. Furthermore, for every $1 billion in royalties paid to Pennsylvania residents, nearly 8,000 new jobs will be created between 2008 and 2011.