Boston, MA 05/22/2014 (wallstreetpr) – Independent oil and Natural Gas Company Royale Energy, Inc. (NASDAQ:ROYL) is surging in the market by a high of 35.23% after the company announced it had identified a large drillable target on Alaskan 3D Seismic. Royale Energy has confirmed the target to be 20,000 acres in size, strongly supported by Dry Hydrocarbon Indicators. The company expects prospective resource assessment to be made available to shareholders and stockholders soon.
Royale Drilling More Wells
Seismic data from the drilling has been loaded for interpretation by the company. This marks a major milestone Royale consequently giving it the much needed hard data to support the earlier reported prospects of the North Slope acreage. The large Drillable prospect clearly demonstrates the benefits of Royale and Rampart operating together.
The announcement of the positive drilling results follows the announcement that the company’s revenue increased by 14% to $1.913, 364 in 2013 from 1,673,538 in 2012, as a result of an increase in prices for natural gas. Cost cutting efforts continue to bear fruits seen by a 20% drop in total expenses. Royale drilled a total of 6 wells in 2013 triple, two wells drilled in 2012.
Revenue Increases by 150%
Increased drilling in 2013 was as a result of careful study of the ongoing relative weakness of Natural gas market with the company expecting to get good returns from the wells. The company is now set to drill a further 3 wells in California, over the next 90 days upon seismic data acquired in 2012. Drilling in Alaska is expected to begin in 2015.
Royale Energy, Inc. (NASDAQ:ROYL) continues to register impressive results in the industry seen by a reduction in its first quarter loss from $1,234, 474 to $767,105. Oil and natural gas revenue increased by 150% in the quarter to $825,556 as a result of increased production and prices for oil and gas. Production levels for the quarter improved by 66% to 150,000 MCFE with a 55% increase in average price to $5.39 per MCF.
