|By Marketwired .||
|January 20, 2014 08:30 AM EST|
CALGARY, ALBERTA -- (Marketwired) -- 01/20/14 -- Contact Exploration Inc. ("Contact" or the "Company") (TSX VENTURE:CEX) is pleased to provide an operations update on its activities in the Kakwa area of Alberta.
Contact holds a 25% working interest in all Montney wells and associated facilities on a 16 3/4 section block in the Kakwa, Alberta area, other than in the 13-17-63-5W6 Well ("13-17 Well") in which the Company's working interest is 37.5% before payout, 25% after payout. Contact is the operator of all wells and facilities on this 16 3/4 section block.
The central compression and condensate stabilization facility located at 16-7-63-5W6 ("16-7 Facility") has now been fully constructed and commissioned. The 16-7 Facility will be used to compress natural gas from the Contact-operated Kakwa area wells for transportation to a third party gas plant, as well as to stabilize and store condensate prior to trucking liquids to sales off-take facilities. Over the past two weeks the 16-7 Facility has demonstrated the ability to receive up to 14mmcf/d of natural gas production and associated condensate production. The commissioning of the 16-7 Facility extended from mid-December 2013 to mid-January 2014. Contact's December 2013 Kakwa production was thereby restricted due to additional downtime of the Kakwa wells while the 16-7 Facility underwent commissioning.
The Contact operated wells at 13-17-63-5W6, 14- 30 -63-5W6, 3-19-63-5W6 and 5-23-63-6W6 are currently flowing through the 16-7 Facility at aggregate gross production rates of up to 8mmcf/d natural gas and 1,200bbl/d condensate (2mmcf/d and 300bbl/d net to Contact). This flush production rate is expected to decline as production continues, in keeping with normal production declines. However, Contact anticipates that production from wells currently being drilled, completed or tied-in at Kakwa will continue to increase the Company's overall production levels.
Contact recently completed and production tested the 16-25-63-5W6 Montney well ("16-25 Well"). During a short production test, the 16-25 Well demonstrated initial deliverability and condensate yields consistent with the Company's other operated wells at Kakwa. Contact notes that the results from production testing are not necessarily indicative of the long term performance or of the ultimate recovery from the 16-25 Well. The 16-25 Well is now being equipped to produce into the 16-7 Facility and Contact expects this well to be brought onto production in early February 2014.
Contact has completed drilling of the 16-17-63-5W6 Montney well ("16-17 Well") to a total depth of 5,191m. The 16-17 Well was drilled from the same pad as Contact's first Kakwa Montney well at 13-17. Drilling operations were carried out on time and on budget, taking 42 days from spud to rig release. Completion operations are underway on the 16-17 Well and Contact expects to undertake production testing of the well in late January 2014. With success, the 16-17 Well will be equipped for production into the 16-7 Facility, with production expected to commence in mid-February 2014.
Also at Kakwa, Contact is currently drilling a Montney well at 15- 30 -63-5W6 ("15-30 Well"), the first of two back-to-back wells expected to be drilled by the Company from the drilling pad at 3- 30 -63-5W6. The 15-30 Well was spud on December 31, 2013 and is expected to take approximately 45 days to reach total depth. Upon casing the 15-30 Well, Contact intends to immediately spud an additional well from the 3-30 pad ("02/14-30 Well"), with spudding expected to occur in February 2014. The 02/14-30 Well is being designed to penetrate the Upper Montney D4 interval. Contact expects to complete both the 15-30 Well and the 02/14-30 Well upon concluding drilling operations on the 02/14-30 Well. Contact anticipates drilling and completion operations on the 15-30 Well and the 02/14-30 Well to be finalized in April 2014 and, with success, expects both wells to be equipped and flowing into the 16-7 Facility in May 2014.
As previously announced Contact intends to employ one rig year round at Kakwa. The Company is currently permitting a new multi-well pad at 7-19-63-5W6 to facilitate the drilling of two long-reach (approximately 1.5 mile) horizontal wells between April and July 2014. The Company expects to complete these wells consecutively once the second well has finished drilling.
Adjoining the 16 3/4 section block discussed above, Contact holds a 23.75% working interest in two non-operated sections at Kakwa. The Company participated in the drilling of one Montney well on these lands, at 14-2-63-6W6 ("14-2 Well"). The 14-2 Well was placed into production in September 2013 but was shut in for substantially all of November and December 2013 due to the operator's infrastructure restrictions. The participants in the 14-2 Well met in late 2013 to discuss production strategies, and the operator agreed to re-commence production at restricted but stable rates. The 14-2 Well re-commenced production on January 7, 2014 as part of establishing a longer term performance profile, and determining an optimum go-forward production strategy, for the well.
About Contact Exploration Inc.
Contact Exploration Inc. is a public oil and gas company which has a long-term history of operating in Atlantic Canada and has recently demonstrated success in Alberta's liquids-rich Montney Formation tight gas play. For more information, please see the Company's website: www.contactexp.com.
ADVISORY ON FORWARD-LOOKING STATEMENTS: This press release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words "expect", "continue", "estimate", "may", "will", "should", "believe", "plans", "cautions" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the forgoing, this press release contains statements concerning expected production declines from existing wells, and production additions from new wells, at Kakwa; the timing for the 16-25 Well to be brought onto production; the timing to test, equip and bring onto production the 16-17 Well; the timing to drill the 15-30 Well to total depth, the timing to spud the 02/14-30 Well and the timing to complete, equip and bring both such wells onto production; and the timing to drill and complete two long-reach horizontal wells off a pad at 7-19-63-5W6.
Forward-looking statements or information are based on a number of material factors, expectations or assumptions of Contact which have been used to develop such statements and information but which may prove to be incorrect. Although Contact believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because Contact can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. In particular, in addition to other factors and assumptions which may be identified herein, no assurances can be given respecting: whether the Company's exploration and development activities respecting the Deep Basin Montney project will be successful or that material volumes of petroleum and natural gas reserves will be encountered, or if encountered can be produced on a commercial basis; the ultimate size and scope of any hydrocarbon bearing formations at the Deep Basin Montney project; that additional drilling and completion operations in the Deep Basin Montney project will be successful such that further development activities in this area is warranted; that Contact will continue to conduct its operations in a manner consistent with past operations; results from drilling and development activities will be consistent with past operations; the accuracy of the estimates of Contact's reserve volumes; the general stability of the economic and political environment in which Contact operates; drilling results; field production rates and decline rates; the general continuance of current industry conditions; the timing and cost of pipeline, storage and facility construction and expansion and the ability of Contact to secure adequate product transportation; future commodity prices; currency, exchange and interest rates; regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which Contact operates; and the ability of Contact to successfully market its oil and natural gas products.
Further, events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties and other factors, many of which are beyond the control of the Company, including, without limitation: changes in commodity prices; changes in the demand for or supply of the Company's products; unanticipated operating results or production declines; changes in tax or environmental laws, royalty rates or other regulatory matters; changes in development plans of Contact or by third party operators of Contact's properties, increased debt levels or debt service requirements; inaccurate estimation of Contact's oil and gas reserve and resource volumes; limited, unfavourable or a lack of access to capital markets; increased costs; a lack of adequate insurance coverage; the impact of competitors; and certain other risks detailed from time-to-time in Contact's public disclosure documents. Additional information regarding some of these risk factors may be found under "Risk Factors" in the Company's Management Discussion and Analysis prepared for the year ended March 31, 2013. The reader is cautioned not to place undue reliance on this forward-looking information. The forward-looking statements contained in this press release are made as of the date hereof and Contact undertakes no obligations to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
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.
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, ...
Jan. 26, 2015 07:45 PM EST Reads: 2,487
Companies today struggle to manage the types and volume of data their customers and employees generate and use every day. With billions of requests daily, operational consistency can be elusive. In his session at Big Data Expo, Dave McCrory, CTO at Basho Technologies, will explore how a distributed systems solution, such as NoSQL, can give organizations the consistency and availability necessary to succeed with on-demand data, offering high availability at massive scale.
Jan. 26, 2015 07:30 PM EST Reads: 1,516
IoT is still a vague buzzword for many people. In his session at @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, discussed the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. He also discussed how IoT is perceived by investors and how venture capitalist access this space. Other topics discussed were barriers to success, what is new, what is old, and what th...
Jan. 26, 2015 06:15 PM EST Reads: 3,853
The Internet of Things (IoT) is rapidly in the process of breaking from its heretofore relatively obscure enterprise applications (such as plant floor control and supply chain management) and going mainstream into the consumer space. More and more creative folks are interconnecting everyday products such as household items, mobile devices, appliances and cars, and unleashing new and imaginative scenarios. We are seeing a lot of excitement around applications in home automation, personal fitness,...
Jan. 26, 2015 06:00 PM EST Reads: 2,808
Security can create serious friction for DevOps processes. We've come up with an approach to alleviate the friction and provide security value to DevOps teams. In her session at DevOps Summit, Shannon Lietz, Senior Manager of DevSecOps at Intuit, will discuss how DevSecOps got started and how it has evolved. Shannon Lietz has over two decades of experience pursuing next generation security solutions. She is currently the DevSecOps Leader for Intuit where she is responsible for setting and driv...
Jan. 26, 2015 06:00 PM EST Reads: 1,507
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science f...
Jan. 26, 2015 06:00 PM EST Reads: 3,071
SYS-CON Events announced today that CodeFutures, a leading supplier of database performance tools, has been named a “Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. CodeFutures is an independent software vendor focused on providing tools that deliver database performance tools that increase productivity during database development and increase database performance and scalability during production.
Jan. 26, 2015 06:00 PM EST Reads: 1,671
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., showed what is needed to leverage the IoT to transform your business. ...
Jan. 26, 2015 05:45 PM EST Reads: 3,113
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Jan. 26, 2015 05:00 PM EST Reads: 7,609
Vormetric on Wednesday announced the results of its 2015 Insider Threat Report (ITR), conducted online on their behalf by Harris Poll and in conjunction with analyst firm Ovum in fall 2014 among 818 IT decision makers in various countries, including 408 in the United States. The report details striking findings around how U.S. and international enterprises perceive security threats, the types of employees considered most dangerous, environments at the greatest risk for data loss and the steps or...
Jan. 26, 2015 05:00 PM EST Reads: 1,532
Things are being built upon cloud foundations to transform organizations. This CEO Power Panel at 15th Cloud Expo, moderated by Roger Strukhoff, Cloud Expo and @ThingsExpo conference chair, addressed the big issues involving these technologies and, more important, the results they will achieve. Rodney Rogers, chairman and CEO of Virtustream; Brendan O'Brien, co-founder of Aria Systems, Bart Copeland, president and CEO of ActiveState Software; Jim Cowie, chief scientist at Dyn; Dave Wagstaff, VP ...
Jan. 26, 2015 05:00 PM EST Reads: 2,524
Storage administrators find themselves walking a line between meeting employees’ demands to use public cloud storage services, and their organizations’ need to store information on-premises for security, performance, cost and compliance reasons. However, as file sharing protocols like CIFS and NFS continue to lose their relevance, simply relying only on a NAS-based environment creates inefficiencies that hurt productivity and the bottom line. IT wants to implement cloud storage it can purchase a...
Jan. 26, 2015 04:45 PM EST Reads: 686
Cloud Technology Partners on Wednesday announced it has been recognized by the Modern Infrastructure Impact Awards as one of the Best Amazon Web Services (AWS) Consulting Partners. Selected by the editors of TechTarget's SearchDataCenter.com, and by votes from customers and strategic channel partners, the companies acknowledged by the Modern Infrastructure Impact Awards represent the top providers of cloud consulting services for AWS including application migration, application development, inf...
Jan. 26, 2015 03:00 PM EST Reads: 1,316
“We help people build clusters, in the classical sense of the cluster. We help people put a full stack on top of every single one of those machines. We do the full bare metal install," explained Greg Bruno, Vice President of Engineering and co-founder of StackIQ, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jan. 26, 2015 02:45 PM EST Reads: 2,246
Software AG and Wipro Ltd. have announced a joint solution platform for streaming analytics that provides real-time actionable intelligence for the Internet of Things (IoT) market. “The key to successfully addressing the IoT market is the ability to rapidly build and evolve apps that tap into, analyze and make smart decisions on fast, big data”, said John Bates, Global Head of Industry Solutions and CMO, Software AG. To address the huge market potential created by streaming analytics in conj...
Jan. 26, 2015 02:30 PM EST Reads: 599