(EME.L) Empyrean Energy PLC Buy/Sell

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Nov 16 (Reuters) - Oil and gas explorer Empyrean Energy Plc said the Quinn 3H well at its Riverbend project in Texas, United States, encountered additional significant and minor fractures.
Empyrean, which earns a 10 percent working interest in the project, said the operator Krescent Energy Co and joint venture partners had agreed to stop drilling and prepare for completion.

"The number of fractures and gas pressures encountered generally compares favourably with successful longer horizontal wells drilled by operators to the north of the Riverbend Project area," the company said in a statement.
The project has an estimated recoverable hydrocarbon potential of 800 billion cubic feet gas equivalent, the company said.
The company's shares rose as high as 18.8 percent to 19 pence in early trade, but later shed their gains to trade up 3 percent at 16.5 pence by 0901 GMT on the London Stock Exchange.

(Reporting by Purwa Naveen Raman in Bangalore; Editing by Aradhana Aravindan) Keywords: EMPYREANENERGY/ (purwa.naveen@thomsonreuters.com; +91 80 4135 5800; Reuters Messaging: purwa.naveen.thomsonreuters.com@reuters.net)

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Empyrean Energy Plc is pleased to announce that it has been advised by Krescent Energy Company LLC ("Krescent"), the operator of the Riverbend Project in Texas, that drilling at the Quinn 3H well had progressed to a measured depth of 16,641 feet where Total Depth ("TD") was called at 2am on 13th November 2009.

Since the last report, further significant and minor fractures have been encountered.

The well plan had allowed for up to 5000 feet of horizontal to be drilled. The operator and JV partners have agreed to cease drilling and prepare for completion as multiple significant fractures and numerous smaller fractures have been encountered since entering the target zone. The number of fractures and gas pressures encountered generally compares favorably with successful longer horizontal wells drilled by operators to the north of the Riverbend Project area.

Forward operations will include running production casing prior to preparing for testing of the well. A sales pipeline is already connected to the well site allowing for the well to be production tested direct to sales.

Empyrean is earning a 10% working interest in the Riverbend Project.

Further updates will be provided as significant events occur.

The information contained in this announcement was reviewed by the Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has over 40 years experience as a petroleum geologist.

Commenting today, Empyrean Director Tom Kelly said "Empyrean is excited to be commencing preparations to test the first well on the Riverbend Project. This project has an estimated recoverable hydrocarbon potential of 800 billion cubic feet gas equivalent. It will be interesting to see how the Quinn 3H well responds during the testing phase with a relatively short horizontal section."

Contact:

Tom Kelly Empyrean Energy Plc Tel: +618 93216988

Nominated Adviser and Broker:

Jerry Keen Astaire Securities Plc Tel: +44 (0) 20 7448 4400
Shane Gallwey Astaire Securities Plc Tel: +44 (0) 20 7448 4400

This information is provided by RNS The company news service from the London Stock Exchange

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Nov 10 (Reuters) - Oil and gas explorer Empyrean Energy Plc said the Quinn 3H well being drilled at its Riverbend project in Texas, United States, encountered multiple significant gas flares, sending its shares up as much as 27 percent.
The company said the gas flares included multiple flares over 100 feet in height and one over 200 feet.
"The number and significance of the fractures and flares have exceeded the operator's (Krescent Energy Co LLC) expectation for the footage of horizontal drilled up to this point," Empyrean said in a statement.
However, the company warned that no conclusions should be drawn from the observations to date, until drilling operations were completed and the well was production tested. The flares are being analysed further to decide on how much further drilling is needed, however, it is highly likely that it will not be necessary to drill the planned 5,000 feet of horizontal, Empyrean said.
Empyrean shares were trading up 13.3 percent at 17 pence at 1015 GMT. They touched a high of 19.02 pence earlier in the session.

(Reporting by Kumar Alagappan in Bangalore; Editing by Ratul Ray Chaudhuri) Keywords: EMPYREANENERGY/ (kumar.alagappan@thomsonreuters.com; +91 80 4135 5800; Reuters Messaging: kumar.alagappan@thomsonreuters.com)

COPYRIGHT

Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.