datetime:15 Feb 1999 06:07:00 / DOREAL ENERGY CORP
DOREAL ENERGY CORP ("DOY-Y;DEGCF-L")
- Aljubarrota No. 2 Exploratory Well, Portugal, Current Status
James H. Dorman, President & CEO reports that the Aljubarrota No. 2
wildcat has been drilled to a depth of 2,513 meters. Intermediate casing has been set. The well was tested from a younger zone which is above the Triassic Silves sandstone objective. The tested interval was from 2,415 meters to 2,513 meters and was just one of the numerous similar potentially productive zones which had been identified by electric and mudlog analyses. These additional zones are behind the casing and will be tested at a later date. White natural gas production rates during the test could not be accurately measured, the Operator, Mohave Oil and Gas of Houston, considers them to be very significant. This zone and others will be thoroughly evaluated after the well has reached final total depth. Testing of the above zone has been completed and the Operator will immediately resume drilling with plans to reach and evaluate the Silves sandstone as originally proposed. Final total depth is currently expected to be approximately 3,650 meters. Doreal's working interest in this well is 10 percent with a net revenue interest of 9.35 percent. Partners in the well are those listed in previous news releases.
There are no other material changes with respect to Dorsal's affairs
to report at this time.
This News Release is not for distribution in the United States or through any services having US participation.
Datetime:16 Feb 1999 12:55:00 / DOREAL ENERGY CORP
DOREAL ENERGY CORP ("DOY,DOY.RT-Y")
- Rights Offering Cancelled
In view of the current results in Portugal, Doreal Energy Corporation
announces that it does not intend to proceed with the proposed Rights
Offering. In the short term, the Corporation intends to raise funds, as required, by private placement.
There are no other material changes with respect to Doreal's affairs
to report at this time.
This News Release is not for distribution in the United States or
through any services having US participation.
It may be that based on the previous less-than-stellar drilling result the investors wanted to have some early confirmation of the prospects of this hole before going to the added expense of drilling another 1000. It sounds like they feel they have multiple pay-zones that they've passed already which should make the first part of the hole pay for itself but they intend to perforate and test for all those later. I thought that it was more significant that following the test results (They haven't told anyone what they got yet.) they decided not to go to the market for further financing and cancelled their proposed offering in favour of a private placement.....Almost as if the investors decided they'd like more of the pie for themselves??? - Why share a good thing if you don't need to! |
