Sefton Resources unveils rise in oil output at Kansas project

Shares in Sefton Resources climbed Tuesday after the oil and gas company announced an increase in production at Leavenworth Country, Kansas.

The group said a competent persons report was carried out to assess the future cash from oil and gas proved reserves and unproved resources at the prospect.

The report estimated net present value cash flows of $25.99m, representing a ten-fold increase compared to $2.57m reported at the end of 2011.

It also showed oil production grew to 400 barrels a month in March compared with 300 barrels in February.

"Sefton is demonstrating the results of the time, effort and investment made in Kansas which has served to substantially increase the reserves and the net present value of its oil and gas assets in Leavenworth County," said Chairman Jim Ellerton.

"Monthly oil production continues from our ongoing workover and recompletion programme."

Following acceleration of the acreage leasing programme in Leavenworth County, the company has assembled 14 separate project areas all with oil and gas potential.

Later in the year, work will begin in Anderson County on the Waverly pipeline system to mirror the operation being developed in Leavenworth County, Ellerton concluded.

RD