Hello Everyone: DYNAMIC OIL NEWS RELEASE: V.DOL
Take a look at this release and let me know what you think:
Dynamic Oil Limited -
Alberta well test results
Dynamic Oil Limited
DOL
Shares issued 12637818
1997-07-25 close $2.05
Monday Jul 28 1997
Mr Wayne Babcock reports
The company has received results from a recent test of its well at
06-01-54-26 W4M in the St Albert/Big Lake area of central Alberta.
The 3,768 foot well, with 7 inch casing and 2 7/8 inch production tubing, tested gas with a calculated maximum wellhead open flow potential at surface of 118.5 million cubic feet per day. Sandface absolute open flow was calculated, with damage removed, at 296 million cubic feet per day. Status Engineering Associates Ltd, an independent oil and gas engineering firm, estimates 63.3 billion cubic feet of proven raw gas in place with 1.9 million barrels of associated natural gas liquids.
The test results have exceeded expectations and the company now
believes the well to be the largest lower Mannville gas well ever tested in Alberta. The company owns a 50% working interest in the well and associated reserves as described in the company's news release in
Stockwatch, June 3. The company expects to produce the well at rates
up to 16 million cubic feet per day. Production is expected to begin
November 1 1997 following construction of a new 10 mile pipeline from
St Albert to a gas plant owned by Atco Gas Services Inc in the
Carbondale area, Alberta.
The 06-01 well encountered 62 feet of gas pay. One follow-up location,
with anticipated pay of 99 feet is proposed as a back-up producer.
Three other horizons with potential for natural gas and one with potential for oil have been identified on the property and will be evaluated with additional recompletion and drilling.
Using internal calculations from the test results of the 06-01 well,
combined with a recent independent report by Status Engineering with
respect to an engineering evaluation of reserves, the company's total
proven recoverable reserves before royalties is estimated to be 35
billion cubic feet of gas, 833,000 barrels of associated natural gas
liquids and 182,600 barrels of oil.
The 06-01 pool represents approximately 70% of the company's proven
gas reserves. The Status Engineering evaluation considers only proven
producing and proven non-producing reserves and does not include
lesser categories of reserves commonly reported.
BOB |
