ACQUISITION / Cirque Energy Ltd acquires UK Acreage
CALGARY,, March 6 /CNW/ - CIRQUE ENERGY LTD. announces that The
Department of Trade and Industry has awarded licences in the 8th Landward Oil
& Gas Licencing Round. Cirque has acquired 80,000 acres (47,000 net) in and
surrounding its existing acreage in the East Midlands area of the United
Kingdom. These new lands increase Cirque's land holdings in the area to
230,000 net (119,000 gross) acres and add three new prospects to existing
inventory. Additional 2D seismic will be shot on the new licences where
several exploratory prospects have been shot. Cirque is the operator of 100%
of the Company's United Kingdom acreage.
Cirque and its partners continue to production test the recently
announced oil discovery at Fiskerton. The discovery well (Cirque 37.0% BPO,
48.2% APO) is flowing oil at stabilized rates and plans are underway to
pipeline connect the well into the Welton battery facilities 2 miles to the
north. A 16 sq. km 3D seismic program has just been completed over the
discovery and it is anticipated that 2 wells of a 5 well development program
will commence in early summer. Contingent on the results, a continuing
development drill program would reach into 1999.
The most recent Turin, Alberta well encountered two gas zones and one oil
zone. Since shooting 3D seismic over most of Cirque's 8800 gross (3760 net)
acres, the Company has drilled 12 wells resulting in 8 oil wells, 2 oil & gas
wells, 1 saltwater injector and 1 dry hole.
Cirque also announces that it has called a meeting of its shareholders
for April 7, 1998 to approve, subject to compliance with regulatory
requirements, an amalgamation of its common shares on a 4 for 1 basis and a
change of its corporate name to Cirque Energy Corp. The Corporation believes
that the reorganization of the share structure is necessary to ensure the
continued shareholder support of the Company as well as comply with recent
changes made by NASDAQ to the listing standards. The shares of the Company are
expected to be listed on the Toronto Stock Exchange (TSE) in the next 30 days.
The Board of Directors have also voted in favour of changing the
Company's year end to December 31st. This change will result in the Company
having two 1998 year ends - the second of which will cover a nine month
period.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CIRQUE ENERGY LTD.
Glen A . Phillips
President & Chief Executive Officer |
