CANADIAN OILPATCH / MAGIN ENERGY INC. (MGY)
TO PARTICIPATE IN 15 WELL DEVELOPMENT PROGRAM
CALGARY, Nov. 22 /CNW/ - Magin Energy Inc. announced today that it has
participated in a 15 well (net 9.2) development program beginning October 1,
1996, with an overall net success rate of 86%.
New pool discoveries were made in the Medicine River (50%) and Jenner
(38%) areas of Alberta. The Medicine River well had excellent log and core
results and production tests have commenced. The initial production tests at
Jenner were 120 barrels of oil, with follow-up drilling planned in the first
quarter of 1997.
The development program at Horseshoe and Jenner will add 250 barrels of
oil per day in December to Magin's current production of 1600 barrels of oil
equivalent per day.
Excluding the results for Equis and Denergy which were merged into Magin
as of September 26, 1996, Magin had cashflow of $551,000 and net earnings of
$176,000 for the three months ended September 30, 1996. Daily production for
this period was 480 barrels of oil equivalent. This compares with cashflow of
$11,000 and a net loss of $58,000 for the three months ended September 30,
1995.
NEITHER THE TORONTO STOCK EXCHANGE NOR THE ALBERTA STOCK EXCHANGE HAS
EITHER APPROVED OR DISAPPROVED THE CONTENTS OF THIS PRESS RELEASE.
For further information: Glenn R. Carley, Chairman, President and CEO, Magin Energy Inc., (403) 265-1899, Glen A. Yeryk, Senior Vice President and COO, Magin Energy Inc., (403) 265-1899 |
