Duel Energy Inc.

 Duel Energy Inc.
Oil Drilling Project – Illinois USA
Duel Energy Inc. is an emerging privately held junior Canadian oil and gas company seeking operations in the USA. Duel has commenced operations as of January 1, 2008 as primarily oil production. Our focus is drilling new wells, acquisition, leverage, development and exploitation of existing assets through re-entry and shallow vertical and HZ drilling opportunities.
Duel Energy's profit growth is based on fundamental principles of controlling cost and development strategies to effectively control spending with an above average Netback income. Our core focus with location, drilling parameters and re-entry has allowed us to fully understand our capabilities and/or limitations for development and growth. We have assembled a team of experienced down-hole service technicians to assist in the restoration and development of existing average to long life oil and gas assets along with drilling new oil wells.
The current market area focus is Southern Illinois. Crude oil in the Illinois Basin has little or no resistance and creates an abundance of crude oil. A lot of this crude oil is brought up into the state of Illinois by a very large fault called the Mississippi River. Crude oil will always follow the path of least resistance. 
The southern counties in Illinois have some of the  best drill sites in the region. This southern region has a lot of natural gas which helps push the crude oil north to higher elevations. For the best results in Illinois it is recommended to drill into the Aux Vases, Ste Genevieve, Ohara, McClosky, pay zones (3,000-3,400 feet). These will be the best producing zones.

Main Criteria for looking for future crude oil production in southern Illinois is that the adjacent developed oil well to have at least a 100-800 IP/24 in the producing zones of Aux Vases, Ste Genevieve, Ohara and McClosky.

Forecast (Key assumptions Used to establish this project.)
• Acquisition of 15,000 acres of oil field property leases and mineral rights.
• $80,000 cost for drilling each well.
• $60,000 capital cost for acquiring pumps and solar power for oil production post drilling.
• 2 new wells are drilled each month for 24 consecutive months
• New well initial production is  100 barrels a day
• Oil revenue per barrel $70 a barrel
• Oil production operating costs are $6.50 per barrel
• Oil production general and admin costs are $4.50 per barrel
• Oil Production Royalty will be 15% of gross revenue.
• State sales tax is 8% on gross oil production revenue and corporate income tax is 7% of net
revenue.
• Average production rate of decline is 10% per year.
• Oil Production Revenue is paid to the business every 30 days.
• Oil drilling operation is performed by third party
• Oil production operation managed by third party