Newstar Resources NER.A Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Newstar Resources NER.A

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: reg who wrote (19)	11/20/1997 11:11:00 PM
From: sPD	Read Replies (1) of 59

Update on Madisonville, Cotton Valley TORONTO, Nov. 20 /CNW/ - Newstar Resources Inc. (NASDAQ: NERIF and TSE: NER) announces that it has completed the design and engineering for a plant to process gas from its 100% owned Madisonville Field in East Texas. Newstar has ordered equipment for the plant and is planning construction for a startup in August 1998. The plant would process gas from its shut in No.1 Magness well and two other wells to be drilled. The No.1 Magness tested gas from the Rodessa formation at 12,000 feet at an absolute open flow of 103 Mmcf per day. Based on internal engineering studies, Newstar believes that more than 80 Bcf of gas can be produced from the Rodessa reservoir containing the No.1 Magness. In addition, a further 40 Bcf of possible gas reserves have been identified in an untested upthrown closure which is high to a flank well with gas shows. Newstar has also scheduled a 32 square mile 3-D seismic survey to be acquired in late 1997 or early 1998 to more fully delineate the Cotton Valley formation sitting at 17,000 feet. Initial seismic interpretation indicates that this formation has the possibility of holding more than 600 billion cubic feet of natural gas. Newstar is proceeding to permit a well to test the Cotton Valley in early 1998. This well which is estimated to cost U.S.$3.5 million would take approximately 3 months to drill. The well would also test seismic targets between the Rodessa and the Cotton Valley in the Sligo, Petit and Travis Peak formations. Michigan-based Newstar Resources Inc. is an oil and gas exploration and production company with operations in Michigan, Ohio and Texas. The Company trades on the NASDAQ National Market System under the symbol NERIF and the Toronto Stock Exchange under the symbol NER. Certain statements in this news release regarding future expectations of reserve potential, production and drilling may be regarded as ''forward-looking statements'' within the meaning of the U.S. Litigation Reform Act. They are subject to various risks, such as the inherent uncertainties in interpreting engineering data relating to underground accumulations of oil and gas. Actual results may vary materially.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next