News
Oil & Gas Production and Project Status Report for Ambra Resources Group Inc.and Venture Oil and Gas Inc. VANCOUVER, British Columbia--(BUSINESS WIRE)--September 1, 1999--
Ambra Resources Group (OTC BB:ABRG - news) and 50% owned partner, Venture Oil & Gas Inc., report production and project acquisition status.Development of the 7,300 acre Red River Bull Bayou Unit in Red River Parish, La., is proceeding with plans to fund Phase 1 operations with the sale of a 50% interest on or about September 2, 1999. Phase 1 involves remediation of five of the projects total of fifty-seven oil wells and is scheduled to begin in two weeks. Phase two remediation, includes up to eight wells and will begin within 60 to 90 days. A reserve estimate prepared for the Unit Operator gives recoverable oil of 2.5 million barrels from the Unit formation.
State Lease ``9800' No. 1 Well, Bastian Bay Field in Plaquemines Parish, La., was successfully
remediated to obtain gas production flow rates of 2.5 million cubic feet of gas per day. This connection was delayed to take advantage of lower fees and expenses for line costs. The base production sales price is approximately $2.34 per mcf ($2.25 pmmbtu). Further, all gas which is sold above a price of $3.32 per mcf ($3.20 pmmbtu) accrues to the participants. Final permitting of the new gathering line is expected by September 2 with well hookup and production by September 7, 1999.
Acquisition of the State Lease ``9798' well No. 2 in Lake Washington Field, Plaquemines Parish,
La. has been completed and remedial operations are scheduled to begin in two to three weeks.
Company estimates total recoveries of 100,000 barrels of oil and 200 million cubic feet of gas.
In Charenton Field, St. Mary's Parish, La., Ambra Resources and Venture O & G have negotiated
partial acquisition to acquire working interests in six oil production wells. The companies expect
additional interests to be finalized in September and for operations to follow within thirty days.
Recoverable oil reserves are estimated at 320,000 barrels with 300,000 barrels of undeveloped
reserves to be drilled.
Acquisition of interests in the S. Barataria Field of Jefferson Parish, La. has been completed and
initial remediation work has been performed, resulting in 25 barrels of oil per day plus 100 mcf
of gas per day. This project is expected to produce 1,000 mcf and 50 barrels of oil per day
after additional remediation which is planned for the next sixty days. Total recoverable reserves
of 50,000 barrels of oil and over one Billion cubic feet of gas have been assigned to this project.
The acquisition of two oil well re-entry prospects on a 1,040 acre project in Log-Pat Field of
Scurry County, Texas has been completed. The first well has been tested at rates of 28 and
25 barrels of oil per day over the past two days. The first well produced on time clock for
8 and 10 hours during each day. Longer interval testing will be done over the next week and
production is expected to be 35 to 50 barrels per day. The second well tested water plus a
show of oil and was shut-in awaiting additional evaluation.
By the Board of Directors, John M. Hickey, President.
Contact:
Ambra Resources Group Inc., Vancouver
Investor Relations, 800/698-3377 or 604/669-2723
ambraresources.com
By the board of Directors,
AMBRA RESOURCES GROUP INC.
John M. Hickey
President |
