private Deer Creek Energy
isdnwire.com
Deer Creek Announces Successful Conclusion of OSL#24 SAGD Test; Retention of Financial Advisors
Calgary, Alberta - Wednesday, March 14, 2001, 2:43 PM EST
Deer Creek Energy Limited announces the successful completion of
a one year SAGD test program at Joslyn Creek on the Company's
100% owned Athabasca Oil Sands Lease No. 24.
Production averaged 239 barrels of oil per day during the month
of February 2001, having peaked at rates in excess of 500 barrels
of oil per day and resulting in an aggregate test volume of more
than 20,000 barrels of oil. Operations have been suspended
awaiting regulatory approval for expansion to a commercial
project, prototype facility having nominal capacity of 2,000
barrels of oil per day.
Lease No. 24 comprises 49,363 acres with an estimated 8 billion
barrels of oil in place from which up to 2 billion barrels of oil
are projected to be recoverable through the application of low
pressure, steam assisted gravity drainage (SAGD) and surface
mining methods. Subject to securing necessary regulatory
approvals and development capital, current plans call for
start-up of a 30,000 barrels of oil per day commercial SAGD
project in 2004.
Deer Creek also announces the appointment of ING Barings LLC of
New York and Waterous Securities Inc. of Calgary, as co-advisors
to the Company in the process of identifying suitable strategic
partners and securing the capital required for continued
development of Oil Sands Lease No. 24.
Deer Creek Energy Limited, based in Calgary, Alberta, is a
privately held company specializing in the application of
horizontal drilling and steam injection in large-scale heavy oil
and bitumen development. Lime Rock Partners of Westport,
Connecticut, (http://www.lrpartners.com) the Company's lead
investor since 1998, is a private equity firm focused exclusively
on investment in the energy sector worldwide. |
