Petroleum and Natural Gas

The Province-wide road ban on movement of heavy loads has had the effect of curtailing or stopping development in several areas. In the Leduc area, the discovery well has been restricted in flow to only a fraction of normal due to limited storage space, but drilling at Imperial Leduc Nos. 2, 3, and 4 has been continued for the past few weeks. The No. 2 well is within 100 feet of the producing horizon and should be completed within the next few days. According to reports, it has been logging slightly lower, structurally, than the discovery well, but, regardless of the outcome, it has been an important test to determine westerly cross-section of the Leduc structure. No official reports have been made available of any tests made during the drilling of the well, but it is understood that promising oil and gas shows have been indicated in higher formations. Actual drilling operations have not been commenced by any of the other companies holding leases in the immediate area but it is expected that, when road bans are removed and equipment is assured, several wells will be commenced. Announcement has been made that Imperial Oil, Limited, will drill a well near Battle lake, about thirty-five miles southwest of the Leduc field. Location of the well has been made following an extensive seismograph survey of the area, with total depth of the test well expected to be in the 8,000- to 8,500-foot range. Drilling will be done with the heavy-duty rig last used at the De Winton test. Imperial Oil have abandoned hope of oil production in the Provost area after drilling nine wells, but will retain their interest in the gas field that has been developed. Of the wells drilled, four indicated gas flows ranging from 1,060 to 13,200 M.c.f. per day.