News release:
Olympic update on Semitropic syndicate
Olympic Resources Ltd ORL
Shares issued 10,654,378 May 19 close $0.55
Fri 19 May 2000 News Release
Mr. Daryl Pollock reports
The Semitropic syndicate holds a 100-per-cent working interest (75-per-cent
net revenue interest) in 4,500 acres of oil and gas leased lands located in
Kern county, Calif. This represents one of the largest contiguous blocks of
land in the San Joaquin Valley near the Ekho and Lost Hills play. Olympic
is the manager of the syndicate.
The syndicate property lies three miles northwest of the Ekho No. 1 well
over a portion of the deep-seated structure called the Buttonwillow fault,
a major geological feature readily apparent on the seismic data. The
syndicate has acquired an extensive seismic and geological data base over
its lands and adjoining acreage that indicate potential hydrocarbon traps
in sands in the Temblor formation.
The Ekho project is proceeding with completion and production testing of
its deep oil and gas play. The Ekho project's well lies in a trap very
similar to that found on the Semitropic prospect along the same geological
trend. According to a news release, the Ekho No. 1 determined: "The primary
target, the Veddar sand, has a gross sand thickness of 440 feet. The
Phacoides, a secondary target, has a gross sand thickness of 160 feet over
two intervals. As originally projected, other horizons that have
indications of hydrocarbons include the Olcese and Antelope/McDonald
intervals. The Olcese has a gross sand thickness of 965 feet, the
Antelope/Macdonald interval, a producing horizon on the Lost Hills
structure, has a thickness of 975 feet in Ekho No. 1. Based upon the log
interpretation there is potential for hydrocarbons in all the sand."
Olympic seismic interpretation confirms the above-mentioned sands extend
onto the syndicate property at a structurally higher elevation rendering
these sands a significant target. Seismic data further confirm the sands
are bounded by same Northwest trending fault structure.
The syndicate is developing plans to drill a test well on the deep target
with a large potential. This well will be drilled to the approximate depth
of 18,500 feet to test the same sands encountered in the Ekho No. 1. These
sands are equivalent to the Temblor formation, which is the focus of
tremendous interest in the oil and gas industry since the blowout of East
Lost Hills Bellevue No. 1 in late November, 1998. The syndicate invites
joint venture participants in this exciting new play.
WARNING: The company relies on litigation protection for "forward-looking"
statements. |
