This newsletter is for the week of November 4, 2013 and contains current information on Company operations as of November 1, 2013. Information contained in this newsletter may be outdated at the time of release. Prior issues of the newsletter may be found on the Company’s website located at http://www.treatyenergy.com/investors/news.
Corporate Filings (Treaty Energy Corporation):
The 10-Q for the second quarter of 2013 is still being prepared. A definitive release date is still uncertain as changes are still on-going and the document must pass final partner review. At the time of this newsletter’s release, the final draft of the document is still being adjusted after passing through a second partner review. The document was expected to be released two weeks ago, but received several revisions after the first round of reviews.
The Company understands and acknowledges many shareholders’ frustrations in the reporting delay. All individuals involved in the process are striving to complete the document as quickly as possible to put the Company back into full SEC compliance. Parts of the Q3 financials are being assembled at the same time of the Q2 financials so as to speed up the Q3 filing times.
Once the document has received approval from the auditors, the quarterly statement will be immediately released and the Company will follow with a press release shortly after that will detail key information. Shareholders need to be aware that the Q2 2013 numbers will reflect the transition in operating strategy from marginal “shallow well” operations to exploratory drilling operations with new “deeper wells” (Mitchell #3 and #4). Q3 2013’s and beyond will start reflecting the success of management’s strategic policy changes.
The Company released a large investor packet that describes many of the actions taken by the Company during the second quarter of 2013. Investors may download this packet by visiting this link: http://www.treatyenergy.com/sites/default/files/TECO_Texas_Investor_Pack....
West Texas (C&C Petroleum Management, LLC):
The Company has made significant progress in many areas of West Texas. Operations continue to develop. For day by day updates, please visit the Company’s Facebook page at https://www.facebook.com/TreatyEnergyCorp.
The Company perforated the Stockton #2 well on Friday, November 1, 2013. The Company is going to complete an acid and fracture job on November 6 and 7, 2013. The trenches for the flow lines and electrical lines are currently being dug and the lines will be laid on November 7, 2013. The Company expects the Stockton #2 to be put into full production by this weekend.
The Stockton #3 drill spudded in late on October 30, 2013. As of 6am on November 4, 2013, the well’s current depth was at approximate 3,300ft and the rig is currently undergoing a bit change. The drill is expected to reach a total depth of 4,800ft on Thursday of this week, but may be as late as Saturday. The Company anticipates the well will have been cemented and cased by Sunday, November 10, 2013.
P.H. Barnes Lease and TRRC Resolution
The Company is working with the TRRC to resolve the P.H. Barnes #1 well issue this week or next, provided that its plan of operation is approved with area TRRC representatives. The Company hopes to have C&C Petroleum Management back into compliance with the TRRC by the end of November.
East Texas (C&C Petroleum Management, LLC):
The Company recently completed a work over on the Hill lease and put the Hill #1 back into production after being shut in for several years. The only gas well currently in Treaty Energy Corporation’s repertoire is currently producing 100mcf of natural gas per day and in 6 days produced 601mcf (Oct 25-31, 2013). The Company is continuing to monitor the production on the Hill lease and hopes to improve its operations. The current $/MCF sold on the pipeline is approximately $3.00 (~$300.00/day net revenue before NRI splits).
The Lakeshore lease continues to improve in operations and produced a solid 3-5 BPD throughout the month of October following a successful work over and pumping schedule last month. Total production on the lease for the month of October was around 100bbl (put back into production October 4, 2013).
Belize (Treaty Belize Energy, Ltd):
San Juan #3
The Company received word late Sunday night that the pulling tool had completed its manufacturing process and will be available for pick up on Tuesday morning. Company representatives in Texas are planning to fly back with the tool sometime this week to attempt a final packer removal. Should the removal be successful, the Company will perforate and swab the San Juan #3 well as anticipated. The Company will continue to update investors on the progress of the well’s operations.
Treaty Energy Corporation
About Treaty Energy Corporation
Treaty, an international energy company, is engaged in the acquisition, development and production of oil and natural gas. Treaty acquires and develops oil and gas leases which have “proven but undeveloped reserves” at the time of acquisition. These properties are not strategic to large exploration-oriented oil and gas companies. This strategy allows Treaty to develop and produce oil and natural gas with tremendously decreased risk, cost and time involved in traditional exploration.
Treaty Energy Corporation (TECO) trades on the OTCQB, the marketplace for companies that are current in their SEC reporting requirements. Investors can find Real-Time quotes and market information for Treaty Energy at http://www.otcmarkets.com/stock/TECO/quote
Statements herein express management's beliefs and expectations regarding future performance and are forward-looking and involve risks and uncertainties, including, but not limited to, raising working capital and securing other financing; responding to competition and rapidly changing technology; and other risks. These risks are detailed in the Company’s filings with the Securities and Exchange Commission, including Forms 10-KSB, 10-QSB and 8-K. Actual results may differ materially from such forward-looking statements.