ONE MORE RELEASE I FORGOT:
-Oct. 17, 1996--NP Energy Corp. announced that acquisition and joint venture agreements signed by the company and its associates have been
"legalized" by the Consulado General del Ecuador.
NP Energy Corp. acquired a 15 percent interest in 100 percent of the rights to the Santa Elena Peninsula area and a right to an additional 15 percent should such interests be available. Compania General de Combustibles (CGC) acquired from Espol Ecuador, all of the rights of the area by way of a consortium agreement and has contracted field operating rights with the consortium and participants. CGC is an international petroleum exploration and production company domiciled in Argentina.
The Santa Elena fields comprise 300,000 acres, 645 active wells, gasoline plant, 12 mile pipeline to refinery at La Libertad (world oil prices are paid for oil), infield development locations and numerous
exploration prospects. Production to date is over 120 million barrels (mmbo). Proven recoverable reserves are 15.52 mmbo of crude oil with additional estimated reserves of 48 mmbo recoverable on shore and 82 mmbo prospective recoverable offshore.
Average daily production for the month of July was 1,256 bls of oil, 92.55 bls of gasoline and 2.62 million cubic feet of natural gas. This is a production increase of over 30 percent since CGC assumed control of the field. A 25 percent to 30 percent increase in production has continued monthly. Daily average oil production forecasts are for 1996 -- 2,800 bls, 1997 -- 3,800 bls, 1998 -- 4,500 bls, 1999 -- 4,800 bls, 2000 -- 5,500 bls, and 2001 -- 6,200 bls.
NP Energy Corp. has an accumulated net share of early production for the month of July totaling US$232,913.00.
NP Energy Corp. has been invited to participate in other producing properties in conjunction with its joint venture partners. |
