Sefton kick starts Kansas production

Oil and gas firm Sefton Resources said it was kick-starting the company's oil production in Kansas with the purchase of a lease covering 14 wells.

The firm has taken a 100% working interest in the lease, which includes the wells, along with surface equipment and water disposal facilities.

The deal is expected to cog through in October once title problems have been corrected.

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Chairman Jim Ellerton said the purchase of the lease in Leavenworth County was expected to kick-start the company's oil production in Kansas.

"Our pipeline infrastructure system is in the process of being connected to the Southern Star interstate system which will allow such associated gas to get to market," he said.

"The water disposal facilities that come with this acquisition are extremely beneficial for Sefton and will expand our options for maximizing future oil and gas production."

Sefton also said it would shortly make a number of other announcements on subjects including:

- the gas pipeline in Kansas becoming operational

- oil production from Kansas

- further lease acquisitions in Kansas

- additional workover activity; drilling

- improvement of surface facilities at Tapia

- a report on the application of a full field steamflood at Tapia.