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| 8-K - FORM 8-K DATED JULY 20, 2010 - FX ENERGY INC | form8k072010.htm |
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FOR
IMMEDIATE RELEASE
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SCOTT
J. DUNCAN
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FX
Energy, Inc.
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July
20, 2010
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3006
Highland Drive, Suite 206
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Salt
Lake City, Utah 84106
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(801)
486-5555 Fax (801) 486-5575
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www.fxenergy.com
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FX
Energy Reports Extended Test Shows Zakowo Not Economic
Salt Lake
City, July 20, 2010 – FX
Energy, Inc. (NASDAQ: FXEN) today reported that the extended production
test of the recently re-entered Zakowo-1 well in block 246 does not provide
support for the cost of additional workover attempts and infrastructure for the
overall project. Testing over the last few days did confirm the flow
rates from the earlier tests when the well was originally drilled in the
1970s. However the improved tools and procedures available today
indicate very low permeability at some distance from the wellbore, meaning the
current flow rates are not sustainable.
“Although
we are disappointed with the results, this determination was made early enough
in the process to avoid making the large capital expenditures that building
infrastructure would entail. The process did show that a viable
petroleum system is in place in this concession block. We plan to
acquire new seismic this winter to identify both Rotliegend and Zechstein reef
targets in block 246. Meanwhile, the Lisewo well in our core Fences
area will begin operations next month,” said David Pierce, president of
FX Energy.
About
FX Energy
FX Energy
is an independent oil and gas exploration and production company with production
in the US and Poland. The Company’s main exploration activity is
focused on Poland’s Permian Basin where the gas-bearing Rotliegend sandstone is
a direct analog to the Southern Gas Basin offshore England. The
Company trades on the NASDAQ Global Market under the symbol
FXEN. Website www.fxenergy.com.
______________________________
FORWARD-LOOKING STATEMENTS
This report contains forward-looking
statements. Forward-looking statements are not
guarantees. For example, exploration, drilling, development,
construction or other projects or operations may be subject to the successful
completion of technical work; environmental, governmental or partner approvals;
equipment availability, or other things that are or may be beyond the control of
the Company. Operations that are anticipated, planned or scheduled
may be changed, delayed, take longer than expected, fail to accomplish intended
results, or not take place at all. Actual production over time may be
more or less than estimates of reserves, including proved and P50 or other
reserve measures.
In carrying out exploration it is necessary to identify and
evaluate risks and potential rewards. This identification and
evaluation is informed by science but remains inherently
uncertain. Subsurface features that appear to be possible traps may
not exist at all, may be smaller than interpreted, may not contain hydrocarbons,
may not contain the quantity or quality estimated, or may have reservoir
conditions that do not allow adequate recovery to render a discovery commercial
or profitable. Forward-looking statements about the size, potential
or likelihood of discovery with respect to exploration targets are certainly not
guarantees of discovery or of the actual presence or recoverability of
hydrocarbons, or of the ability to produce in commercial or profitable
quantities. Estimates of potential typically do not take into account
all the risks of drilling and completion nor do they take into account the fact
that hydrocarbon volumes are never 100% recoverable. Such estimates
are part of the complex process of trying to measure and evaluate risk and
reward in an uncertain industry.
Forward-looking statements are subject to risks and
uncertainties outside FX Energy’s control. Actual events or results
may differ materially from the forward-looking statements. For a
discussion of additional contingencies and uncertainties to which information
respecting future events is subject, see FX Energy’s SEC reports or visit FX
Energy’s website at www.fxenergy.com.