Talisman U.S subsidiary Fortuna reaches milestone in Appalachians

Ray Tyson

Petroleum News Houston correspondent

Fortuna Energy, a subsidiary of Canada’s Talisman Energy, has surpassed 100 million cubic feet of daily natural gas production from its Appalachian properties in the Corning area of New York, Talisman said June 1.

The company said it also completed the SRA3 No. 1 gas well, drilled horizontally to a measured depth of 11,704 feet. The well tested a new structure in the upper Black River formation. It flowed tested at 19 million cubic feet of gas per day at a wellhead pressure in excess of 2000 psi, the company said.

“These are prolific wells and their location close to major U.S. markets means that they are particularly valuable,” said Jim Buckee, Talisman’s chief executive officer, adding that production in the area has increased from 60 to over 100 million cubic feet per day in recent months.

The northeastern United States now accounts for more than 12 percent of Talisman’s consolidated North American natural gas production and generates about 18 percent of the operating cash flow from North American gas operations.

“Fortuna is continuing to build its land base in the area and is putting together plans for 2005,” Buckee said.