Thanks Bill! WEE.V $C3.70 +.33 on news: Wavefront Energy & Environmental Services Inc. - DeepWave(SM) well stimulations continue to prove beneficial for oil production
Thursday March 30, 12:10 pm ET
TSX-V: WEE Pink Sheets: WEESF
EDMONTON, March 30 /CNW/ - Wavefront Energy and Environmental Services Inc., a provider and licensor of its proprietary DeepWave(SM) (http://onthewavefront.com/dw_what-is-deep-wave.htm) Technology for improved oil recovery and groundwater remediation is pleased to provide an update on two well stimulations conducted near Bakersfield, California in December 2005 and January 2006.
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Production from the first well stimulation reported on December 15, 2005 and updated January 31, 2006 has now stabilized. Oil production rates have tailored off from those reported immediately following the stimulation but remain 11 times better than pre-stimulation levels. Other noted improvements are the water inflow, which has dropped, and the gas production, which has more than doubled. Prior to the stimulation, the well was producing 2 barrels of oil per day, 86 barrels of water per day, and 3 thousand cubic feet of gas per day. Two months following the stimulation, the well is producing 22 barrels of oil per day, 76 barrels of water per day, and 8 thousand cubic feet of gas per day.
Initial production results from the second well stimulation reported on January 31, 2006 and updated February 15, 2006 show improvements in oil, water and gas production. As previously reported, this well was run with a tracer study that confirmed distribution of the stimulation acid over 100 percent of the perforations. Prior to the stimulation, the well was producing 7 barrels of oil per day, 144 barrels of water per day, and 694 thousand cubic feet of gas per day. Following the stimulation, the well is producing 22 barrels of oil per day, 117 barrels of water per day, and 817 thousand cubic feet of gas per day. This is a three-fold increase in production combined with a reduction in water inflow as well as an increase in gas production.
Production and tracer study results for the third stimulation conducted near Bakersfield are not available at this time.
Brett Davidson, President and CEO stated, "A key benefit of DeepWave(SM) is that it is a method that provides for intense mixing, greater distribution, and greater penetration depth of liquids being injected into the ground. Chemical treatment companies focus on the chemistry, but not mixing, distribution or penetration depth. DeepWave(SM), combined with chemical applications, forms a very effective synergistic approach to reservoir stimulation. This synergistic effect is well established with documented case histories as far back as 2001 where well stimulations that combined DeepWave(SM) with treatment chemicals were found to outperform prior well stimulations by a factor of five(1). A typical chemical placement by pressure injection may affect 40-60% of the perforated interval however our most recent results show that DeepWave(SM) distributed the chemical across 100% of the perforated interval. No other placement technique has previously enabled treatment of all perforations."
Mr. Davidson further stated, "From its inception the Company has always maintained that DeepWave(SM) is a game changing technology that will result in the rethinking of how liquids can be optimally placed in the ground. From the results outlined above and those we have garnered since 1998 the technology is proven to be repeatable and scalable for broad application in the oil and gas industry. The Company has yet to see a comparable technology that provides for intense mixing, greater distribution, and greater penetration depth of injected liquids."
Mr. Davidson went on to note, "DeepWave(SM) is of strategic importance to the Company and its licensees as it allows an integrated solution to be offered to clients that competitors cannot match. Management believes that with consistent results and sustainable post-treatment production rates as demonstrated in California, DeepWave(SM) will be the placement technique of choice in an industry where chemical sales in the areas of well stimulation, production and enhanced oil recovery commanded over 1.7 billion in the United States in 2004 and are expected to reach US$2.2 billion by 2009(2). Global sales of all oilfield chemicals have been projected to hit US$10 billion in 2008(3)."
About Wavefront Energy and Environmental Services Inc.
Wavefront develops, markets, and licenses proprietary technologies in the energy and environmental sectors. The Company's DeepWave(SM) Technology for fluid flow optimization has been demonstrated to increase oil recovery. Within the environmental sector, DeepWave(SM) Technology accelerates contaminant recovery and improves in-ground treatment of groundwater contaminants thereby reducing liabilities and restoring the site to its natural state more rapidly.
ON BEHALF OF THE BOARD OF DIRECTORS
WAVEFRONT ENERGY AND ENVIRONMENTAL SERVICES INC.
"D. Brad Paterson" (signed)
D. Brad Paterson, CFO & Director
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(1)Paper 2001-57, Petroleum Society CIM International Conference,
Calgary, AB, June 12-14, 2001.
(2)Oilfield Chemicals to 2009 (published 11/2005, 287 pages), The
Freedonia Group, Inc.
(3)World Oilfield Chemicals to 2008 (published 4/2005, 362 pages), The
Freedonia Group, Inc.
Cautionary Disclaimer - Forward Looking Statements
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Certain statements contained herein regarding the Company and its operations constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements that are not historical facts, including without limitation statements regarding future estimates, plan, objectives, assumptions or expectations or future performance, are "forward-looking statements". We caution that such "forward-looking statements" involve known and unknown risks and uncertainties that could cause actual results and future events to differ materially from those anticipated in such statements. The Company expressly disclaims any obligation to up-date any "forward-looking statements".
THE TSX VENTURE EXCHANGE NEITHER APPROVES NOR DISAPPROVES THE CONTENTS OF
THIS RELEASE WHICH WAS PREPARED SOLELY AT THE DISCRETION OF MANAGEMENT
For further information
D. Brad Paterson, CFO, (780) 486-2222 x224 Tel, investor.info@onthewavefront.com
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Source: Wavefront Energy and Environmental Services Inc. |
