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Gold/Mining/Energy : KERM'S KORNER -- Ignore unavailable to you. Want to Upgrade?

To: Arnie who wrote (10120)	4/20/1998 10:18:00 AM
From: Kerm Yerman	Respond to of 15196

FIELD ACTIVITIES / Bearcat Explorations Ltd. and Stampede Oils Inc. Imperial Berkley Turner Valley 2-21-21-3 W5M Well Udate BEARCAT EXPLORATION LTD. AND STAMPEDE OILS INC. CALGARY, April 17 /CNW/ - Bearcat Explorations Ltd. and Stampede Oils Inc. announce that the recently drilled IMP Berkley Turner Valley 2-21-21-3 W5M well has been completed as a major exploratory Mississippian gas discovery, with approximately 100 feet of net pay in a gross 126 foot Turner Valley section. The April 1, 1998, Crown P&NG lease sale and the related necessity for strict confidentiality precluded the operator from conducting any major test operation and completion work prior to the sale date. The 1 3/4 sections of leases acquired by the Farmee/Farmor group at the sale, complement and are integral to the Company's existing overlying lease coverage of this gas zone. Selection of the P&NG leases acquired by the Farmee/Farmor was dictated by the delineation of this new gas pool. Bearcat's and Stampede's working interests in this gas pool will range from 11.125% to 23.8% and 5.562% to 11.885% respectively. This discovery well is now in the final shut-in period of a preliminary production test operation and subsequently will be stimulated for maximum production capability. This should be in the range, ultimately, of at least 10-15 million cubic feet (mmcf) of gas per day. The gas is only very slightly sour with an H(2)S content of approximately 2.5%. Ninety feet (90 ft.) of Turner Valley reservoir section was perforated. Bearcat/Stampede's area and regional geological/geophysical interpretation indicates the potential recoverable gas reserves in this new gas field should be in the order of at least 600 BCF, and underlie a minimum of 8,320 acres. The Company's P&NG leases cover a major portion of this indicated gas pool area and allow for the drilling of a minimum of six to eight additional gas wells. This gas pool is interpreted to extend for a length of approximately 14 miles. The operator of the 2-21 well has agreed to the release of the information contained herein and has prepared a ''Response Statement''. This ''Response Statement'' advises that ''The Imperial-Berkley Turner Valley 2-21-21-3 well was drilled and completed in a regional Mississippian Turner Valley gas zone with approximately 100 feet of net pay. The well was tested in March at rates of one to three million cubic feet per day (1-3 MMcf/d), and is currently shut in for pressure buildup.''...and ''...the portion of the pool in which Imperial has an interest is expected to contain approximately 150 billion cubic feet (BCF) of gas...''. The drilling of two follow-up wells to the 2-21 gas discovery is expected to commence shortly. One well will be drilled by Bearcat/Stampede et al approximately one mile southeast of the 2-21 discovery well. Application for a drilling license is to be submitted by the end of April. The location for the second well has not been finalized as of this date. With regard to the drilling of the BPC et al Turner Valley 12-35-20-3 W5M well, it is now planned to whipstock this well northwest into the newly discovered Regional Turner Valley gas pool. The operator has advised that a rig is available for early summer. Shareholders should know that in addition to the gas reserves in the Mississippian Turner Valley formation there is also potential for developing major recoverable gas reserves in the deeper Devonian. This is demonstrated by the Stampede Bcat et al Hartell 4-13-19-2 W5M Devonian Crossfield discovery well at the southern end of the trend. It is also indicated in other currently suspended Stampede operated wells to the northwest. The spacing unit for the Hartell discovery well has proven recoverable gas reserves of 42 BCF and the overall related South Turner Valley Crossfield gas pool is interpreted to hold at least 250 BCF. Two development wells are to be drilled into this south pool this year. Sub-surface structural information derived from the recent drilling of both the 2-21 well and the 12-35 well, coupled with other nearby structural and reservoir information, indicates the presence of this underlying major Devonian Crossfield gas field, extending approximately 30 miles in a north/south direction. Recoverable gas reserves potential of this reservoir is considered to be in excess of 3 trillion cubic feet (TCF) in the Turner Valley North area alone. The Stampede Bcat et al TV 6-23-20-3 W5M well, located approximately two miles south of the BPC et al Turner Valley 12-35 well, has an indicated 40 feet of net gas pay in the upper Crossfield and is to be tested/completed this year. A gas/water contact is evident in this well bore at -7952 feet subsea. A drilling license for the deepening of the suspended Stampede Bcat et al TV 7-25-20-3 W5M well will be applied for in early May. The structural top of the Regional Mississippian Turner Valley formation in this well bore indicates that the top of the Devonian Crossfield gas zone will be encountered approximately 396 feet higher to the Crossfield gas/water contact in the offsetting 6-23 well. The 7-25 well should have in the order of 180 feet of net gas pay. The Turner Valley North prospect is now turning into a very major gas development project. The IMP Berkley Turner Valley 2-21 gas well is expected to commence production by the end of July, and at least two follow-up gas wells should be producing prior to the year end 1998. Significant Devonian Crossfield gas production should commence by mid 1999. Bearcat's working interest in the newly discovered Regional Turner Valley formation gas field (indicated 8,320 acres) varies from 11.25% to 23.81% and the Company's working interest in the indicated underlying Devonian Crossfield gas area (potential 51,200 acres) varies from 21.25% to 53.10%. Stampede's working interests vary from 5.562% to 11.885% and 9.19% to 26.65% respectively. Information related to the potential for major oil development on this prospect will be forthcoming at a later date. In addition to the proceeds realized from the recent Rights Offering, Bearcat at this time still has available to it in excess of $500,000.00 of flow-through exploration/development funds from its private placement financing in late 1997. Stampede, besides proceeds from the Rights Offering, still has in excess of $300,000.00 of flow-through funds available to it. The Companies are currently negotiating arrangements for additional financing should the need arise. Bearcat and Stampede have been made aware that a fair amount of negative non-factual disinformation related to the Companies' involvement in the Turner Valley prospect has been posted on a certain Internet website, on a current and seemingly never-ending basis. Shareholders are advised to treat any such so-called chatter with a high degree of scepticism related to any pretense of credibility. For the Companies to not respond at this time, to this extremely erroneous chatter, could be MISCONSTRUED as an endorsement of its validity. Subsequent Bearcat news releases and other related information will be available for viewing after May 1, 1998, on Bearcat's website bearcat.ab.ca. Subsequent Stampede news releases and other related information will be available for viewing after May 1, 1998, on Stampede's website stampede.ab.ca. The Alberta Stock Exchange has neither approved nor disapproved the information contained herein. BEARCAT EXPLORATIONS LTD. is listed on The Alberta Stock Exchange under the symbol BEA. STAMPEDE OILS INC. is listed on The Alberta Stock Exchange under the symbol STF.