FX Energy Inc., a Salt Lake City-based oil and gas exploration company with extensive land holdings in Poland, said it has added two new exploratory wells to its 2012 drilling program.
The company said the new wells will test prospects in two of its concessions in Poland.
"These wells will enable the company to increase the momentum of its most active drilling year to date," FX said in a statement announcing the new undertakings.
And it indicated the two new wells will be funded under its previously reported $60 million to $70 million capital budget, which FX is funding from existing cash and other resources.
FX said the new wells are in addition to the two wells already under way in Poland and three more that are expected to start drilling in the second half of the year.
"A successful test . . . when fully developed could add materially to our oil and gas reserves and production potential in Poland," said Zbigniew Tatys, the head of operations for FX in Poland. "Perhaps equally important, success in any of these new areas would support our belief that Poland has considerable undiscovered hydrocarbon potential and can reward serious exploration effort."
Unlike the U.S., demand for natural gas exceeds domestic Polish supplies. And even though Poland has made considerable efforts to increase production, it still imports most of the natural gas it uses.