Delta Mutual, Announces Oil & Gas Block assignment at Salta.
By admin | Published: October 9th, 2013
Delta Mutual Inc. (“Delta” or the “Company”) — (OTTC NY: DLTZ) proudly announces that its wholly-owned subsidiary, Southamerican Hedge Fund (SAHF), has been awarded with the License to Explore, Drill and eventually Produce Oil & Natural Gas in the Valle de Lerma Area located in Salta, Argentina. SAHF is planning on commencing on September 15th, 2011 its field program, which will encompass: a reinterpretation of existing 2D seismic lines of the Area; and resource definition drilling, engineering and environmental baseline studies, and a work-over on a 1994 well named “La Troja.” In addition, a Preliminary Economic Assessment (“PEA”) is in progress and is expected to be completed in the fourth quarter of 2011.
The Company recently announced on August 18th, 2011 the receipt of a Government Note (Resolution Number 07/11) from REMSA (Mining and Energy Resources Company), a state-owned Salta Company, notifying the approval of the Assignment of the Valle de Lerma Concession to SAHF and Grasta Petroleo, an Argentine local Refinery. The International and Domestic Bid Nr 02/11 was made according to Article 31 of the Federal Law 6838.
Field Program Details. SAHF is the Joint Venture Operator
Valle de Lerma is an oil and gas concession with an area of 5259 Km2 that encompasses the Salta capital. The Area has two wells that were drilled in the early 1990′s: St. CMo. x-1 (Coronel Moldes) in 1990, and St. LT. X-1001 (La Troja) in 1994. The exploration target according to initial interpretation of 2D was the Cretaceous formation.
SAHF has received the required regulatory permits to commence its field program, which will include approximately 14 days of work-over on the La Troja Well, with a depth of 1435 meters, drilled in 1994, with tests showing hydrocarbon traces at the 1277/1280 meter interval depth. The 2011 program is designed to detect the pay zone of the La Troja Well and accommodate the Area to start production.