FIELD ACTIVITIES / Calvalley Petroleum updates Malik Block in Yemen
Calvalley Petroleum Inc. is pleased to announce today the results of an
independent engineering evaluation of its Yemen assets performed by Fekete
Associates Inc., a highly respected Calgary based petroleum engineering firm.
Calvalley has interest under a Production Sharing Agreement (PSA) with
respect to the Malik Block (9) consisting of 1.2 million contiguous acres in
central Yemen. Fekete states: "We have reviewed the relevant geophysical,
geological and engineering data, and have concluded that the Qishn of Block
9 is geologically similar to CanOxy's Block 14 (Masila Field). CanOxy is
presently producing 192,000 Barrels per day of oil. The bulk of this
production is from twelve (12) Qishn pools. This makes Calvelley's Block 9
highly prospective."
In their evaluation, Fekete grouped the prospects on the Malik Block (9) into
"Group 1 Prospects" and higher risk "Other Potential". The "Group 1
Prospects" were assigned potential original oil in place of 950 million
Barrels, and potential recoverable oil of 285 million Barrels. The total
Block, comprised of the "Group 1 Prospects" plus the "Other Potential", was
assigned potential original oil in place of 2.15 billion Barrels and
potential recoverable oil of 647 million Barrels.
Calvalley intends to drill its first of four appraisal wells on the Malik
Block (9) during the fourth quarter of 1998 with the intention of immediately
proceeding with the development of the Block and initiating production at
between 35,000 and 75,000 barrels of oil per day in the year 2000.
Calvalley Petroleum Inc. is a Calgary-based oil and gas exploration and
development company whose shares are traded on the Montreal Exchange.
Calvalley operates in Yemen through its wholly owned subsidiary Calvalley
Petroleum (International) Inc.
Ticker symbol: CVI.A
Newspaper Abbreviation: Calvalley
Source: Edmund Shimoon, P. Eng.
Chairman and Chief Executive Officer Calvalley Petroleum Inc.
Ph (403) 297-0490
Fax (403) 297-0499 |
