Pan Orient Energy Corp.: Operations Update
December 18 2013 - 7:30AM
Marketwired Canada
Pan Orient Energy Corp. ("Pan Orient" or the "Corporation") (TSX VENTURE:POE) is
pleased to provide an update on operations in Thailand, Indonesia and Canada.
Concession L53 Onshore Thailand (Pan Orient Operator and 100% Working Interest)
Thailand Oil Production
Oil sales averaged 1,058 BOPD in November and 883 BOPD over the past 30 days
reflecting the shut-in of the 410 BOPD L53-G2 well on December 6 at the end of
the expired 90 day production test period. Current production is 690 BOPD with
an additional approximately 530 BOPD shut-in (total current production capacity
of 1,220 BOPD) until the approval of the L53-G production Environmental Impact
Assessment ("EIA") anticipated in mid-January 2014. Two additional well work
overs are planned between now and year-end 2013.
Concession L53 Operations
On September 27, EIA approval was received for eight surface locations with four
wells per surface location (thirty-two wells total). Three of these approved
surface locations are over the high impact L53 "A" Central prospect with
construction on one surface location to commence prior to year end with drilling
anticipated to commence in February 2014.
On September 9 the L53-G production EIA was submitted with approval now
anticipated in mid-January 2014. On August 13 the production license application
for the L53-G discovery was submitted with approval also anticipated in January
2014. Both production EIA and production license approvals are required to
commence long term production that is not subject to 90 day test periods.
EIA applications for an additional six surface locations on Concession L53 and
two surface locations on Concession L45 were submitted in early December 2013
with an approximately one month delay due to a number of the locations being
covered by water, not allowing the collection of soil samples. Two of the
Concession L53 surface locations are over the highly prospective L53-A North
prospect located in the northern portion of Concession L53 that was identified
on the new 3D seismic acquired in 2013. Tentative plans are for the drilling of
the L53-A North prospect and one exploration well in Concession L45 in late Q2
2014 after the drilling of the L53 "A" Central well in February 2014.
Canada Operations
Sawn Lake Heavy Oil Project (Andora Energy, owned 71.8% by Pan Orient, has a 50%
Working Interest & Operator)
At the Sawn Lake demonstration project drilling of the first SAGD well pair has
been completed, final site preparation and construction is underway, and
equipment for the facility is ready for installation. Steam injection at the
Sawn Lake SAGD demonstration project is scheduled for the end of January 2014,
with production anticipated early in the second quarter of 2014.
Indonesia Operations
The fourth quarter has been focused almost entirely on farm-out activities
related to the Citarum, Batu Gajah and East Jabung PSC's. Interest in the assets
has been high and farm-in proposals for East Jabung and Batu Gajah PSC's have
been requested to be submitted by the end of January 2014 and the end of
February 2014 for Citarum PSC.
Operations Summary
The two workovers just completed in Thailand Concession L53 have been highly
successful, adding a combined 230 BOPD of oil. Two additional workovers remain
between now and year-end and full production capacity is expected to commence in
late January 2014 after the L53-G EIA is approved and the three currently
shut-in L53-G wells are turned back on.
The 2014 budget and work program will be strongly influenced by the results of
the Indonesian farm-out activities currently underway. It is possible that up to
seven exploration wells will be drilled in Indonesia in 2014, subject to
farm-out success and a number of operational / regulatory requirements. In
Thailand, it is anticipated that at least three wells will be drilled in 2014
starting with the L53 "A" Central exploration well in February. Any exploration
success in Thailand would significantly impact the number of wells drilled in
Concession L53 and success in the farm-out of the Indonesian assets would result
in a more aggressive bias to the number of planned development / appraisal
wells. The Company anticipates to be in a position to provide greater clarity of
the 2014 capital program in late February 2014.
Pan Orient is a Calgary, Alberta based oil and gas exploration and production
company with operations located onshore Thailand, Indonesia and in Western
Canada.
Readers are cautioned that well test results are not necessarily indicative of
long-term performance or of ultimate recovery.
This news release contains forward-looking information. Forward-looking
information is generally identifiable by the terminology used, such as "expect",
"believe", "estimate", "should", "anticipate" and "potential" or other similar
wording. Forward-looking information in this news release includes, but is not
limited to, references to: well drilling programs and drilling plans, estimates
of reserves and potentially recoverable resources, and information on future
production and project start-ups. By their very nature, the forward-looking
statements contained in this news release require Pan Orient and its management
to make assumptions that may not materialize or that may not be accurate. The
forward-looking information contained in this news release is subject to known
and unknown risks and uncertainties and other factors, which could cause actual
results, expectations, achievements or performance to differ materially,
including without limitation: imprecision of reserve estimates and estimates of
recoverable quantities of oil, changes in project schedules, operating and
reservoir performance, the effects of weather and climate change, the results of
exploration and development drilling and related activities, demand for oil and
gas, commercial negotiations, other technical and economic factors or revisions
and other factors, many of which are beyond the control of Pan Orient. Although
Pan Orient believes that the expectations reflected in its forward-looking
statements are reasonable, it can give no assurances that the expectations of
any forward-looking statements will prove to be correct.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility
for the adequacy or accuracy of this release.
FOR FURTHER INFORMATION PLEASE CONTACT:
Pan Orient Energy Corp.
Jeff Chisholm
President and CEO (located in Bangkok, Thailand)
jeff@panorient.ca
Pan Orient Energy Corp.
Bill Ostlund
Vice President Finance and CFO
(403) 294-1770
Pan Orient Energy (TSXV:POE)
Historical Stock Chart
From Aug 2024 to Sep 2024
Pan Orient Energy (TSXV:POE)
Historical Stock Chart
From Sep 2023 to Sep 2024