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St. Mary Provides Update on Haynesville Shale Program
Monday April 6, 2009, 8:00 am EDT
DENVER--(BUSINESS WIRE)--St. Mary Land & Exploration Company (NYSE: SM - News) announces that the Company’s first operated Haynesville shale well, the Johnson Trust 1-2 (SM 90% WI), was recently completed and turned to sales. The well, located in the Spider Field in central De Soto Parish, Louisiana, had a total measured depth of 15,100 feet, and was completed with a 10 stage hydraulic fracture treatment over the 3,400 foot lateral.

The 24 hour production rate from the well reported to the State of Louisiana was 4.1 MMcf of gas and 525 Bbls of load water at a flowing casing pressure of 3,150 psi on an 18/64th inch choke. Although this outcome is within the range of reported Haynesville results, the tested gas rate was lower than other wells in the vicinity. The Company believes that the well may have been damaged during drilling or completion and is working with its service providers to better understand the well’s performance.

St. Mary has 10,000 net acres with potential for the Haynesville Shale in Louisiana, 4,200 of which are located in the Spider Field. The remaining 40,000 net acres of the Company’s total 50,000 net acres are located in East Texas. St. Mary’s second Haynesville well has commenced drilling in northern San Augustine County, Texas. After coring the Haynesville section, this well will be drilled down to the deeper Cotton Valley Lime formation for evaluation purposes. St. Mary currently expects to complete the well as a vertical Haynesville test.