Apco Oil and Gas International Inc. reported that it has completed the first phase of a two phase exploration program in South America. The company is involved in a farm in agreement at the Coiron Amargo project in the Neuquen Basin in Argentina. The Coiron Amargo concession totals 100,000 gross acres.
Apco Oil and Gas International Inc. has now earned a 22.5% interest in the Coiron Amargo concession after completing the second exploration well here. The company has the option of increasing its share of the concession to 45% by drilling two additional exploration wells on the acreage. The company has decided to exercise that option and projects that drilling will be completed by the middle of 2011.
Apco Oil and Gas International Inc. said that the first two exploration wells targeted the Sierras Blancas formation in the basin. This formation is also called the Tordillo formation.
Apco Oil and Gas International Inc. reported that the first exploration well is currently producing 100 barrels of oil per day, along with some minor amounts of natural gas. The company said that the second exploration well is currently producing 225 barrels of oil per day with small amounts of natural gas.
For more information on the company, go to www.apcooilandgas.com