LONDON, March 3, 2014 /CNW/ - Sea Dragon Energy Inc.
("Sea Dragon" or the "Company") (TSX VENTURE: SDX), an oil &
gas exploration and production company with assets in Egypt, is pleased to announce the Al Amir SE
19 development well has encountered significant oil bearing
reservoir sections in both the Kareem Rahmi and Shagar formations
and will be completed as a producer in the Shagar.
Al Amir SE-19 Well:
Al Amir SE-19 (AASE-19) was drilled to a depth
of 10,000 feet where both the Shagar and Rahmi oil reservoirs were
encountered. Log analysis indicates 19 feet of net Shagar oil
pay and 10.5 feet of net Rahmi oil pay. The well has been
completed as an oil producer in the Shagar and has flowed on test
light 42.3⁰ API oil at a rate of 1,365 BOPD with 1.405 MMSCFD of
associated gas. The well is currently shut in for a build-up
but will be placed in production as soon as the rig is moved off
location.
Commenting, Paul
Welch, CEO of Sea Dragon, said:
"The AASE19 well results were very positive. The
development program at NW Gemsa continues to deliver superior
results and we anticipate another strong year of production from
this asset in 2014. It's a great asset with significant
future potential. We are excited about the year ahead in
Egypt as the situation continues
to improve and I look forward to reporting on the growth of our
business there as it expands and develops".
The NW Gemsa concession is located onshore on
the west side of the Gulf of Suez, approximately 300 km southeast
of Cairo. Two main oil fields are
producing light oil, the Al Amir SE field along with the Al Ola
extension to the south and the Geyad field to the north. Sea
Dragon has a 10% working interest in the NW Gemsa Concession with
Vegas oil and gas at 50%, as operator and Circle Oil PLC with
40%.
The company's current net production in
Egypt is 1,705 boepd with 1,305
boepd net from NW Gemsa, 400 bopd net from Shukheir Marine.
About Sea Dragon Energy Inc.
Sea Dragon is an international exploration and
development oil company with a focus on North Africa and the Middle East. Activities are currently
concentrated in Egypt, with
interest in 4 concessions with short and long term potential. For
further information please see the website of the Company at
www.seadragonenergy.com or the Company's filed documents at
www.sedar.com.
Certain statements contained in this press
release constitute "forward-looking statements" as such term is
used in applicable Canadian and US securities laws. Any statements
that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions
or future events or are not statements of historical fact should be
viewed as forward-looking statements. In particular,
statements concerning the 2014 drilling and capital expenditure
programs of the NW Gemsa, Shukheir Marine, South Disouq and South
Ramadan Concessions and the results
referenced or implied herein should be viewed as forward-looking
statements. All reserves information contained herein as well as
the net present value of such reserves should be considered as
forward looking statements. The forward-looking statements
contained in this document are based on certain assumptions and
although management considers these assumptions to be reasonable
based on information currently available to it, undue reliance
should not be placed on the forward-looking statements because the
Company can give no assurances that they may prove to be correct.
By their very nature, forward-looking statements are subject to
certain risks and uncertainties (both general and specific) that
could cause actual events or outcomes to differ materially from
those anticipated or implied by such forward-looking
statements. Such risks and other factors include, among
others, costs and timing of exploration and production development,
availability of capital to fund exploration and development and
political, social and other risks inherent in carrying on business
in Egypt.
See Sea Dragon's Annual
Information Form for the year ended December
31, 2012 for a description of the risks and uncertainties
associated with the Company's business, including its exploration
activities. The forward-looking statements contained in this
press release are made as of the date hereof and the Company does
not undertake any obligation to update publicly or to revise any of
the included forward-looking statements, except as required by
applicable law.The forward-looking statements contained herein are
expressly qualified by this cautionary statement.
NEITHER THE 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 THE RELEASE.
SOURCE Sea Dragon Energy Inc.