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Sun Resources Shares On The Rise

Sun Resources (ASX:SUR) has received an ASX price and volume query after shares rose 42.86% to a high of $0.02 yesterday from a close of $0.014 on Friday, 8 August 2014.

The company said in response that it was not aware of any reason not already announced that could explain the rise.

However, it noted that it had on 1 August released an update on its U.S. Woodbine oil and gas operations as well as an updated investor presentation on 5 August.

Sun has secured rights to about 1,980 acres of oil and gas leases targeting the Lower Woodbine Formation in southern Leon County, Texas.

Notably, the new leases are adjacent to, and on trend with the expanding lease position of EOG Resources (NYSE:EOG), which has completed at least 7 horizontal Lower Woodbine oil producing wells in the immediate area.

These were completed in the last 12-24 months and have delivered a range of 30-day initial production rates of between 200-500 barrels oil per day.

Sun had $2.6 million in cash as of 30 June 2014.

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