American Manor Corp -
American Manor year end report
American Manor Corp ANO
Shares issued 11,393,953
1999-01-06 close $0.77
Monday Jan 11 1999
Mr. William MacPherson reviews the company The past year has been one of changes, with an overall change of direction. The company has started projects, attempted to purchase producing assets and has participated in the drilling of a number of oil and gas wells. Mineral properties are being maintained and the company has been exploring the potential for a reorganization that would see the mineral side of the company separated from the oil and gas. Legal counsel has been researching the opportunity to vend all the company's mineral properties into a newco for shares, which will be distributed to shareholders. Oil and Gas Projects Wembley Area, Northwest Alberta American Manor has a 10 per cent interest in 4,800 acres in the Wembley area of northwest Alberta. The first well drilled and completed in the area by its partners prior to its involvement produced a liquid rich natural gas discovery in the primary objective. American Manor is currently participating in its second well on this project. The first well the company was involved in was uneconomic and this resulted in several more seismic lines being completed prior to starting the second well. Typically 5 to 7 bcf of recoverable gas per section is the norm in this area, with production rates ranging from 1 to 7 mmcf/d. Ferrier Area, Central Alberta The company is paying 12.5 per cent to earn 10 per cent on the first well drilled, with the company paying 10 per cent to earn 10 per cent on any subsequent wells. The play consists of two new liquid natural gas prospects within this highly potential exploration trend. Montana American Manor Corp and its partner, Antelope Oil & Gas, control approximately 22,000 acres of oil and gas leases. This acreage is spread over three different areas. The agreement calls for the company to finance 75 per cent of exploration and development costs to earn 37.5 per cent working interest after payout. In July, a shallow gas well program was started on one of the area plays. The planned depth was to be 1,400 feet. At 700 feet, drilling had to be stopped because of excessive pressure in the well. Attempts to test the well failed after repeated cement jobs were needed because of gas escaping to the surface. Drilling has been discontinued while more geological work is being completed. Northern Alberta Play American Manor Corp. has a 75 per cent interest (17,280 acres) in northern Alberta. This property is part of the lands that American Manor acquired from Fort Point Resources for 1.5 million preferred shares valued at $1.00. The land position is made up of two separate holdings, the Hawk and the Nina. The company has hired an independent petroleum consultant to prepare an initial work program for these lands. The company also acquired property in the Enchant area of Alberta as part of the deal with Fort Point Resources. Earlier in the fall, the company drilled a well in this area. Nothing of consequence was found in the drilling and no further work is planned in this area. Saskatchewan American Manor participated in the drilling of two wells in the fall of 1997. One produced at a low rate for a few months and was then shut in, the second well had significant oil shows in the logs but could not be tested because of problems in the well bore. As a result of these activities, the company has earned the right to drill nine more wells on this property. Santa Rita Gold Concession, Panama The company, through its wholly owned subsidiary, Cuca Corp., holds 100 per cent interest in a 2,500 ha mineral concession in the Colon area of Panama. At present, activity is suspended on the Santa Rita, due to the price of gold. The company continues to evaluate mineral properties in Latin America for potential acquisition. American Manor holds a 55 per cent interest in the Jampang Reserve property (45,000 ha). The company believes that this property has value and is keeping it in good standing with the Indonesian Department of Mines. (c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com |
