SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 of 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 11, 2000
FORTUNE NATURAL RESOURCES CORPORATION
(Exact name of Registrant as specified in its charter)
Delaware 1-12334 95-4114732
-------- ------- ----------
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
515 W. Greens Road, Suite 720, Houston, Texas 77067
-----------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (281) 872-1170
Registrant's telecopier number, including area code: (281) 872-1213
N/A
------------------------------------------------------------
(Former name or former address, if changed since last report)
ITEM 5. OTHER EVENTS
July 11, 2000 - HOUSTON, TEXAS - FORTUNE NATURAL RESOURCES CORPORATION
(NASDAQ OTC BB SYMBOL: FPXA) today provided this exploration program update:
TEXAS GULF COAST AND STATE WATERS ACTIVITY:
CADIZ PROSPECT - BEE COUNTY, TEXAS - ONSHORE:
BROOKS #1 WELL: Final logging results of the Brooks #1 well at the
Cadiz 3-D Seismic Prospect indicate that the well encountered approximately 175
feet of net pay in four potentially productive zones. The log analysis shows 63'
of net pay in the Lower Luling, 60' of net pay in the Lower Slick, 8' of net pay
in a Wilcox stringer sand and 44' of net pay in the Upper Luling. The Upper
Slick sand may also be productive but has not been counted in the net pay
calculation.
The well has first been perforated in the top 10 feet of the Lower
Luling sand and is now flowing two mmcf of gas and 8 barrels of condensate per
day, on a 10/64" choke, into the sales line. Because of the better-than-expected
results, the partners are considering perforating a portion of the additional
53' of the Lower Luling net pay interval to increase production. These
additional perforations are in lieu of performing a fracture stimulation that
the partners thought would be necessary on this sand. The other potential zones
will remain behind pipe and be perforated later after lower zones have first
been produced fully.
Fortune owns a 6.5625% working interest in the producing well.
Production commenced on June 24, 2000. The well was drilled on a 3-D seismic
anomaly generated from 3-D seismic licensed by Fortune and farmed-out to Prime
Energy Corporation (NASDAQ: PNRG). Prime has exercised its option to drill a
well on a prospect in an adjacent faultblock which was also generated from the
3-D seismic and expects to begin operations within sixty days.
LA ROSA - REFUGIO COUNTY, TEXAS - ONSHORE:
LA ROSA #C-7 WELL (NEW DISCOVERY): The La Rosa #C-7 well was spud on
June 18, 2000 and logged on June 26, 2000 as a new discovery. Preliminary log
evaluation indicates that the well has five Miocene pay sands and one additional
potential pay sand. The well has been completed and is to be tested by mid-July.
Fortune owns an 18.75% working interest in the well; its share of the drilling
cost and completion was approximately $33,000.
SPAULDING #11: In response to historically high oil and gas prices, the
partners in the La Rosa field have begun a re-completion program to increase
production. The Spaulding #11 well, the first operation in this re-completion
program, was brought on production on June 22, 2000, with an initial flow rate
of 1 million cubic feet per day. Fortune owns a 37.5% working interest in the
well and spent approximately $8,000 to fund its share of the re-completion.
2
B.D. ROOKE #54: The second well in the La Rosa re-completion program,
the B.D. Rooke #54, was successfully re-completed on June 27, 2000, and is
awaiting pipeline repair to be placed on production. Fortune's interest in
the well is 37.5%; its share of the re-completion cost was approximately $8,000.
SPAULDING #12: The third well in the La Rosa re-completion program, the
Spaulding #12, was successfully re-completed on July 3, 2000, with an initial
flow rate of 400,000 cubic feet per day. Fortune's interest in this well is
20.69%; its share of the re-completion cost was approximately $4,000.
MISSISSIPPI ONSHORE ACTIVITY:
BACON FIELD AREA - CHICKASAW COUNTY
ANDERSON #13-10: The next well in a series of wells in the Bacon Field
Area in which Fortune has participated is the Anderson #13-10. The well is
anticipated to spud on July 19, 2000. Fortune has a 10% working interest in the
well. Over the last year and a half, Fortune has participated in four wells in
the area, of which 75% were successfully completed.
FORTUNE NATURAL RESOURCES CORPORATION is an independent oil and gas
exploration and production company with its principal properties located onshore
and offshore Louisiana and Texas. Certain statements in this news release
regarding future expectations and plans may be regarded as "forward looking
statements" within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. They are subject to various
risks, such as operating hazards, drilling risks, and other uncertainties
inherent in the business of exploring for, developing and producing oil and gas
which may be beyond the Company's control. For a discussion of the contingencies
and uncertainties affecting future events and forward-looking statements, see
Fortune's most recent Annual Report on Form 10-KSB/A, as well as other filings
with the Securities and Exchange Commission. There can be no assurance that the
Company will be successful in meeting its expectations.
**********
Company Contact: Angela McLane
(281) 872-1170
3
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
None.
4
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
FORTUNE NATURAL RESOURCES CORPORATION
By: /s/ Dean W. Drulias
----------------------------------
Dean W. Drulias
Executive Vice President
and General Counsel
Date: July 11, 2000
5