News out on OEL on the CDNX Jim.
Attention Business Editors:
Osprey Energy Ltd.
BRIDGEWATER, NS, Aug. 29 /CNW/ - Osprey Energy Ltd. (the "Company") is
pleased to announce that it has finalized an agreement with BPR Energy of
Lafayette, Louisiana to purchase a Northern Louisiana oil and gas property.
Osprey will pay $1 million US for a 75% working interest before payout, which
reverts to a 50% Working Interest after payout.
The property, in excess of 20,000 acres in 4 counties, has 9 Austin Chalk
Well bores over 18,000 feet deep, 1 salt water disposal wells and 3 Cotton
Valley Wells over 14,000 feet deep. All Wells, which were drilled and tied-in
to gas pipelines in 1997 and 1998 by a major producer, have all the equipment
necessary to commence production. Our operator is presently testing the
infrastructure and transferring State Well licenses.
One Well is currently being operated by Anadarko and producing in excess
of 200MCFD. The Company has scheduled 5 to 6 Wells to commence production
before the end of September. Initially, it is anticipated each Well will
produce 40 to 60 BOD and 200 MCFD of gas during testing. Production will be
increased once all systems are tested and scheduled remedial work completed on
each Well. The Northern Louisiana property is awaiting final approval from the
CDNX.
The Company's Bayou Choctaw Field and the Livingston Field in Southern
Louisiana and the Jenner property in central Alberta are also producing
positive cash flow. Once the Joint Venture statements are received from the
operators, further particulars of each property will be released.
The Company is continuing to pursue opportunities in the Oil and Gas
marketplace to enhance shareholder value by increasing cash flow and building
reserves.
ON BEHALF OF THE BOARD OF DIRECTORS OF
OSPREY ENERGY LTD.
"R. Gary Malone"
President
+++++++
"This release was prepared by management who take full responsibility for
its contents. The Canadian Venture Exchange neither approves nor
disapproves of this news release".
-30-
For further information: R. Gary Malone, Tel: (902) 543-5666; Fax:
(902) 527-1354, E-mail: ospreyenergy@ns.sympatico.ca
Keep an eye on this one as it could pop.
The Osprey |
