HOC.TO: The Party Starts Now !!!
Heritage Oil's Kingfisher-1 Well in Uganda Test Produces 4,120 BOPD
/THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE
SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
CALGARY, Nov. 6 /CNW/ - Heritage Oil Corporation (TSX: HOC) today
announced that the upper zone of the Kingfisher-1 well in Block 3A, Uganda was
tested (DST No. 2) at a stabilized flow rate of c. 4,120 barrels of oil per
day (bopd) through a fixed one inch choke at a flowing well head pressure of
221 psia. The oil was light (c. 30(degrees) API) and sweet with a low gas-oil
ratio and some associated wax. The test rate was constrained by the available
completion and test facilities, and the flow data indicated that when equipped
for production, the well should be capable of flowing at stable rates of
approximately 5,600 bopd. The flow data from the test indicated an extremely
high permeability of over 2,000 milliDarcies, which partly explains why the
test was constrained.
Two firm production tests, DST No. 1 and DST No. 2, were undertaken. DST
No. 1 did not flow hydrocarbons to surface. DST No. 2 tested two zones
totalling 10 metres over the interval from 1,783 to 1,795 metres which flowed
at a stable rate of c. 4,120 bopd. Following interpretation of the data from
these two tests a decision was taken not to proceed with any further testing.
The tests represented a secondary exploration objective for the well, which
will now be sidetracked and drilling will continue to the deeper primary
objectives. It could take a further 45 to 60 days to reach target depth of
between 3,000 and 4,000 metres. The test equipment will remain on location to
test the primary target.
The Kingfisher prospect is a very large structural high that is expressed
at surface on the bed of Lake Albert. Seismic data indicate the Kingfisher
prospect has an areal extent of up to c. 70 square kilometres, although the
Kingfisher-1 well will only investigate a limited part of such a large
structure.
Tony Buckingham, Heritage's CEO stated "The Albert Basin now looks
increasingly like it has the elements to make it a world-class petroleum
basin. The flow rates, even constrained by available completion and test
facilities, far exceeded our expectations. We are delighted with the test
results that have been produced from an upper zone which is not the primary
target of the well. This discovery proves there is a working hydrocarbon
system in Block 3A significantly reducing the exploration risk of the other
high impact prospects that have been identified throughout our licenses in the
Albert Basin. We look forward to accelerating the work programs in the basin."
Heritage is the Operator of Blocks 3A and 1 in Uganda with a 50% equity
in the licenses, with Tullow Oil holding the remaining 50% interests.
Heritage is an international oil and gas corporation with a producing
property in the Sultanate of Oman, a development property in Russia and
exploration projects in the Republic of Uganda and the Democratic Republic of
Congo. The Company announced the sale of its interests in the Republic of
Congo, subject to certain conditions precedent, on June 7, 2006. Through its
subsidiary KPC, the Company is pursuing opportunities in the Kurdistan region
of Iraq, whilst Heritage Middle East is focusing on the other regions of Iraq.
The Company's Common Shares trade on the Toronto Stock Exchange under the
symbol HOC.
If you would prefer to receive press releases via email contact
Ana Augusta (ana@chfir.com) and specify "Heritage press releases"
in the subject line.
FORWARD-LOOKING STATEMENTS: Except for statements of historical fact, all
statements in this news release - including, without limitation, statements
regarding production estimates and future plans and objectives of Heritage -
are forward-looking statements that involve various risks and uncertainties.
There can be no assurance that such statements will prove to be accurate;
actual results and future events could differ materially from those
anticipated in such statements. Factors that could cause actual results to
differ materially from anticipated results include risks and uncertainties
such as: risks relating to estimates of reserves and recoveries; production
and operating cost assumptions; development risks and costs; the risk of
commodity price fluctuations: political and regulatory risks; and other risks
and uncertainties as disclosed under the heading "Risk Factors" and elsewhere
in Heritage documents filed from time-to-time with the Toronto Stock Exchange
and other regulatory authorities. The Company disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.
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For further information: Investors Relations Contacts: CHF Investor Relations,
Cathy Hume, Tel (416) 868-1079 x231, Email cathy@chfir.com; Heather
Colpitts, Tel (416) 868-1079 x223, Email heather@chfir.com; Heritage Oil
Corporation: European Contact Details, Tony Buckingham, Paul Atherton, Tel +41
91 973 1800 or +44 870 011 5555, Fax +41 91 973 1808 or +44 20 7629 3863,
Email info@heritageoilcorp.com; Canadian Contact Details, John McLeod, Tel
(403) 234-9974, Fax (403) 261-1941 |
