Chestnut Petroleum Completes Drilling Project in Calcasieu Parish

DALLAS, Sept. 13, 2011 /PRNewswire/ -- Chestnut Petroleum, a privately owned independent operator, is pleased to announce that drilling operations have been successfully completed on Moss Bluff #1, an oil and natural gas well in Calcasieu Parish, Louisiana. The Moss Bluff #1 is part of a 2-well infield-drilling project in the Gillis-English Bayou field, one of the most established oil fields in North America.

The well was brought on with a very small choke (4/64th) and initially produced 55 barrels of oil (BO) and 440 metric cubic feet (MCF) of gas per day. After two weeks, the choke was bumped open (10/64th), which resulted in a production increase to 120 BO and 700 MCF of gas per day. Long-term Shell Oil studies on the Gillis-English Bayou field in Calcasieu Parish have indicated that wells will produce significantly more oil and gas for longer periods of time by following this choke strategy.

"I couldn't be more pleased with the performance of this well," says Mark Plummer, President and Founder of The Chestnut Group of Companies. "This well demonstrates how using thorough engineering, exploration, and geology can bring in a world class well in the middle of a 50 year old oil field."

The Moss Bluff #1 joins eight additional producing wells that Chestnut Petroleum operates in Calcasieu Parish, which sits at the westernmost edge of Louisiana, along the border with Texas and north of coastal Cameron Parish. ''

About Us

Chestnut Petroleum is a privately owned independent owner-operator that conducts drilling, recompletion and reentry, and general operations in proven producing oil and natural gas fields primarily in Texas and Louisiana. Led by founder and President, Mark A. Plummer, Chestnut Petroleum has followed a philosophy of buying smart, managing costs, and improving production since its inception in 1994. Chestnut Petroleum applies a no-nonsense approach to asset management that drives its ability to create value throughout all of its operations. The Company's current asset portfolio encompasses approximately 250 wells in the following fields: Gillis English Bayou Unit (GEB), Calcasieu Parish, LA; East Texas Field, Gregg County, TX; Signal Hill East Unit, Long Beach, CA; Hardeman County, TX; Barnett Shale, Hood & Tarrant Counties, TX; Lea County, NM; and Eliasville Field, TX.

Chestnut Energy Partners is the exclusive broker-dealer for Chestnut Petroleum; and is a registered broker-dealer and member of the Financial Industry Regulatory Authority (FINRA, formerly the NASD).

To learn more, visit the company's web site at http://www.chestnutpetroleum.com

SOURCE Chestnut Petroleum