Deep Well Oil & Gas, Inc. is Pleased to Announce Test Results on the 1-36 Sawn Lake Well
March 30 2006 - 10:34AM
Business Wire
Deep Well Oil & Gas, Inc. and its subsidiaries ("Deep Well")
(PINK SHEETS:DWOG - News) is pleased to announce that the company
and its joint venture partners have been informed by the operator
that the 1-36 well has cold produced at estimated rates of between
150-200 barrels of oil per day. The joint venture partners were
notified by the Operator that the well has produced for an extended
number of days. This includes a 48 hour test at estimated oil rates
of 150-200 bbls/d based on 72m3, with total fluid rates limited at
upper levels by pump capacity. Intermittent water production of up
to 65% of total fluid volume was encountered. Water samples are
currently being analyzed and logs may be run to assist in the final
determination in the source of water. The joint venture partners
are quite confident that the water source may be remedied on future
wells and reduced water rates may be achieved in future drilling.
An initial oil sample taken early in the flow test phase has been
analyzed by the Operator and the oil was determined to be 10.79%
API with 3.1% sulphur and a viscosity of 3800 cp at 25 degrees
Celsius. Lab analysis of further oil samples should be available
within the next week. The joint venture partners are very pleased
on the success of the initial results of the first well at Sawn
Lake 1-36 well confirming cold flow production of the reservoir at
commercial rates. The Company looks forward to a successful
drilling of the Sawn Lake project - using complete reservoir
modeling, integrated seismic and well data to achieve optimum
production rates. Operations at the well site are currently
suspended due to the imposition of road restrictions which are
anticipated to be lifted in early-May. Upon the lifting of road
restrictions, operations are expected to resume including a 3 well
drilling program the operator expects to undertake in the summer of
2006. A total of 9 locations are expected to be drilled over the
next several quarters. Deep Well Oil & Gas, Inc. is a Nevada
corporation based in Alberta Canada. Deep Well and its subsidiaries
Northern Alberta Oil Ltd. and Deep Well Oil & Gas (Alberta)
Ltd. have an 80% working interest, subject to a farmout agreement,
in 63 contiguous sections of oil sands leases and 6.5 sections of
oil sands permits in the Sawn Lake heavy oil area in North Central
Alberta. The permits and leases cover 43,964 acres. After Signet
Energy drills 10 wells at no cost to Deep Well, they will fully
earn their interest in the project. Deep Well will then directly
hold 40% of the project. In addition, Deep Well owns approximately
29.5% of Signet's common shares. A previously published independent
engineering report estimated that, there are 819.5 million original
barrels of oil in place. This press release contains
forward-looking statements. The words or phrases "would be," "will
allow," "intends to," "will likely result," "are expected to,"
"will continue," "is anticipated," "estimate," "project," or
similar expressions are intended to identify "forward-looking
statements." Actual results could differ materially from those
projected in the Company's proposed oil and gas related business.
The Company's business is subject to various risks, which are
discussed in the Company's filings with the Securities and Exchange
Commission ("SEC"). The Company's filings may be accessed at the
SEC's Edgar system at www.sec.gov. Statements made herein are as of
the date of this press release and should not be relied upon as of
any subsequent date. The Company cautions readers not to place
reliance on such statements. Unless otherwise required by
applicable law, we do not undertake, and we specifically disclaim
any obligation, to update any forward-looking statements to reflect
occurrences, developments, unanticipated events or circumstances
after the date of such a statement. Deep Well Oil & Gas, Inc.
(PINK SHEETS:DWOG)
Deep Well Oil and Gas (CE) (USOTC:DWOG)
Historical Stock Chart
From Aug 2024 to Sep 2024
Deep Well Oil and Gas (CE) (USOTC:DWOG)
Historical Stock Chart
From Sep 2023 to Sep 2024