|By Marketwired .||
|August 19, 2014 07:58 PM EDT||
DENVER, COLORADO and BRISBANE, QUEENSLAND and VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 08/19/14 -- Strata-X Energy Ltd. (TSX VENTURE:SXE)(ASX:SXA)
Strata-X Energy is pushing ahead with its development of the Vail Oil Project's horizontal Burkett 5-34HOR well as part of its strategy to find and develop high reward opportunities.
-- Burkett 5-34HOR well produced 100 barrels of oil in the past 24 hours. -- Oil sales have commenced, last sales @ $93/bbl. -- Production test of the targeted Lingle formation continuing. -- Flared gas remains steady at an estimated 100 MCFD. -- Permanent production facilities are being installed.
Tim Hoops, President of Strata-X commented, "We're very pleased with the results and trends that we see so far in the production testing of our Burkett 5-34 HOR well. We believe that the original stimulation of this well, encountered both the targeted Lingle Formation and an adjacent zone that contains higher water concentrations. As we continue to draw down the hydrostatic pressure in the well, we are continuing to see an increase in our oil production rates. It is still early days in the production testing program, but these results are encouraging.
The production testing results so far demonstrates that the Lingle Formation can be successfully multistage stimulated in a horizontal well to yield significant improvements in oil flow rates compared to historical, vertical well completions. This is the first stimulated horizontal well in the Lingle Formation. Based on our first experience here, and with the information gained in successfully bringing the Burkett well on production, Strata-X believes significant improvements in future wells may be achieved using more optimal drilling, stimulation and completion methods. The expected commercial results continue to reinforce our strategy of delivering exceptional future shareholder value from our 100% owned 72,000 acre projects in the Illinois Basin."
For more information on the Company and its Project's, please visit our website at www.strata-x.com.
To view the image associated with this release, please visit the following link: http://www.marketwire.com/library/20140819-963695.jpg
Strata-X is a Denver, Colorado (USA) based company and is engaged in the business of oil and gas exploration and development with a variety of exploration opportunities in North Dakota, California, Texas, Illinois and Western Australia and production and development opportunities in California. Strata-X has 146,288,969 common shares outstanding and trades under the symbol "SXE" on the TSX-V and "SXA" on the ASX.
For further information please contact:
This announcement was made in Canada for the TSX.V and in Australia for the ASX.
CAUTIONARY STATEMENT The information regarding this or historical production testing on the Burkett 5-34HOR well is not necessary indicative of long-term performance or of ultimate recovery. By definition of the COGE Handbook - "Undiscovered resources are those quantities of oil and gas estimated on a given date to be contained in accumulations yet to be discovered." Further the Handbook states - Caution (per NI 51-101/5.9(2)(v)(B)) - "There is no certainty that any portion of the resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources." In addition, per NI 51-101/5.6 "the estimated values disclosed do not represent fair market value."
This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. The use of any of the words "anticipate", "continue", "estimate", "expect", 'may", "will", "project", "should", 'believe", and similar expressions are intended to identify forward-looking statements. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected and the forward-looking statements included in this news release should not be unduly relied upon. See "Risks and Uncertainties" in the Company's Filing Statement dated August 30, 2011 available on SEDAR at www.sedar.com These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture