Madalena Energy (MVN-V) Announces a 1,045 Boe/d (84% Oil) Ostracod Production Test in West-Central Alberta
Sept 30, 2013 - News Release
Madalena Energy is pleased to announce the results of a 3 day production test of its most recent 100% working interest horizontal Ostracod oil well located at 1-32-55-7W5M in the Paddle River area of west-central Alberta. The well reached a total depth of 3,250 metres, including a 1,380 metre horizontal trajectory. Completion operations included a 16-stage multi-frac program where a total of 4,800 barrels of water-based load fluid were pumped. The well was subsequently production tested for 3 days during which time the well flowed continuously and recovered a total of 3,120 barrels of load fluid (representing 64% of the pumped volume). During the 3 day test, the well flowed at an average rate of 877 bbls/d of 30° API oil and 1.007 mmscf/d of natural gas for a total of 1,045 Boe/d (84% Oil). The test rate over the last 24 hours was approximately 788 bbls/d of oil and 1.092 mmscf/d of natural gas (on a 3/4" choke at a flowing wellhead pressure averaging 200 psi). After accounting for shrinkage and NGLs recovery at the local production facility, the test rate over the final 24 hours would equate to approximately 957 boe/d (87% oil & NGLs).
This horizontal well is currently shut-in and operations to equip the well for production and tie-in the solution gas to existing Madalena facilities are underway. The Company anticipates that this horizontal well will be brought on-stream in October.
Madalena has a large land base of over 150 net sections in the Greater Paddle River area of which the company controls approximately 60 net sections of land across the Ostracod oil trend and has a significant inventory of drill-ready horizontal locations for Ostracod development.
While Madalena is very encouraged by the initial results from this horizontal well, the flowback information disclosed above should be considered preliminary and is not indicative of the well's long-term performance. Ongoing technical work and operational enhancements continue to improve the Company's understanding of the ultimate potential of its Ostracod oil play with further optimizations being made via the drilling and completions execution.
About Madalena - International and Domestic Assets
Madalena is an independent, Canadian-based, international and domestic upstream oil and gas company whose main business activities include exploration, development and production of crude oil, natural gas liquids and natural gas.
Internationally, Madalena holds three large blocks within the prolific Neuquén basin in Argentina where it is focused on the delineation of vast shale and unconventional resources in the Vaca Muerta, Lower Agrio and Los Molles shales, in addition to tight sand plays in the Mulichinco and Quintuco. The Company is also developing a conventional oil play in the Sierras Blancas formation. Madalena holds 135,000 net acres on the Coiron Amargo, Curamhuele and Cortadera blocks.
Domestically, Madalena's core area of operations is located in the Greater Paddle River area of west-central Alberta where the Company holds approximately 200 gross (>150 net) sections of land (78% average W.I.) encompassing multiple light oil and liquids-rich resource plays. Madalena's domestic focus is to exploit its large inventory of horizontal development locations on its Ostracod oil, Notikewin/Wilrich liquids-rich gas, and emerging Nordegg oil & liquids-rich gas resource plays. Madalena also holds more than 100 net sections (100% W.I.) which are prospective for the Duvernay shale.
Madalena trades on the TSX Venture Exchange under the symbol MVN. Basic corporate information, recent news releases and regularly updated corporate presentations are available on the Company's website at www.madalenaenergy.com. |
