Petrolia (TSX VENTURE: PEA), Junex (TSX VENTURE: JNX) and Gastem (TSX VENTURE: GMR) are pleased to announce that the pressure build-up tests have been completed successfully in the Petrolia-Haldimand #1 well. The analysis of the pressure data indicates that the well pressure at the end of the test (12,403 kPa) is greater than the pressure at the well completion (11,383 kPa) measured at a depth of 1,073 metres. The well has been shut-down for the last 45 days following a 15 day production test which allowed the well to reach a stabilized production rate of 40 BOE(1) per day (34 barrels of light oil and 6 barrels equivalent of gas). The oil production is from a 139 metre thick zone located between 950.5 m and 1,090 m below the surface. The well was perforated at 8 levels within the producing zone (sweet light oil more than 47 degrees API), representing a total of 22 m of perforated casing.
Following these results, the project partners are planning to reopen the well to undertake an extended (90 day), production test, followed by a 180 day analysis of reservoir pressure recovery. The purpose of this additional test is to allow the partners to more accurately define the importance of the reserve.
Junex and Petrolia each hold a 45% interest in the project and Gastem holds a 10% interest. Junex is the project operator.
Petrolia is an oil and gas exploration and development company with large property holdings in Quebec's Gaspe Peninsula. Petrolia holds exploration rights on more than 4 million acres of land located in the Appalachian basin in the province of Quebec.. Petrolia is the operator for exploration on its own hydrocarbon permits and wants to intensify the exploration for the next year. Petrolia is listed on the TSX Venture Exchange under the symbol PEA-TSXV. The company has working capital of $2.0 million and has 27,144,080 shares issued and outstanding. Petrolia's objective is to maintain its position as the leading oil and gas explorer in the Gaspe Peninsula. Petrolia own 5.4% of the shares of Gastem (GMR: TSXV).
Junex holds exploration rights on more than 4 million acres of land located in the Appalachian basin in the province of Quebec. Recent major discoveries in the United States and Eastern Canada have stimulated exploration in Quebec, which is located in a favourable geological setting for oil and gas discovery. Junex's strategy is to reduce exploration risks by entering into partnerships with other exploration companies. In parallel to its exploration efforts, Junex goal is to achieve positive cash flows from its natural brine and drillings services operations. Junex also holds approximately 12% interest in Petrolia (PEA : TSVX) and a 5.4% interest in Gastem (GMR : TSXV).
Gastem is publicly-traded oil and gas exploration company (GMR - TSXV, 18.4 million shares) listed in January 2004. The company owns properties and interests in Quebec and Alberta.
(1) BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.