BOGOTA, Colombia, Aug. 4, 2011 /PRNewswire/ -- La Cortez Energy, Inc. (OTC: LCTZ) ("La Cortez" or the "Company"), is pleased to provide the following operational update on the Company's Putumayo-4 block located in the Putumayo Basin in southwestern Colombia:
As previously disclosed, at the end of November 2010, the local community consultation process was suspended pending appoint of a new contractor to act on behalf of the Ministry of Interior. During July 2011, consultations were reinitiated, and significant progress has been made in the northern part of the block with two communities consulted to date. One agreement is ready for signature by the community and Petroleos del Norte S.A. (PetroNorte), operator of the Block; a second agreement is under discussion, with final approval currently expected within a month. Community consultations in the southern part of the block are proceeding more slowly, and while the negotiations continue in earnest, it has been agreed to focus all initial seismic activity in the northern area of the block in order to fulfill the commitments to the ANH (Agencia Nacional de Hidrocarburos).
Assuming completion of the community consultation process under the timeline indicated above, the near-term operational objective is to shoot 104.8 km of 2D seismic over the block during October 2011. The seismic acquisition is a contractual obligation of the parties under the terms of our agreement with the ANH. The results of the seismic acquisition program will allow PetroNorte and us to finalize the selection of the drilling location for the first exploration well to be drilled on the Putumayo-4 block.
Bid specification for the seismic acquisition is expected to be complete by the end of August 2011, awarded in September, and initiated in October 2011. We anticipate that we will have the seismic volume interpretation from the acquired seismic by early 2012. In addition, once the community consultations are finalized, we will commence work on the Environmental Impact Study, which is required to secure the environmental license. Subject to completion of permitting and civil works at the drill-site, we and PetroNorte anticipate spudding the exploratory well (which is a commitment obligation under the contract with the ANH) during the second quarter of 2012.
Andres Gutierrez, President and CEO of La Cortez, commented on the announcement, "We are very pleased to announce the community consultation process is underway once again, and eagerly anticipate the increased level of activity over the coming months. We remain very optimistic about the exploration potential of the Putumayo-4 block and are encouraged that our views are shared by others who have recently approached us regarding their potential interest in partnering with us on future exploration and development activity."
About La Cortez Energy, Inc.
La Cortez Energy, Inc. is an early stage oil and gas exploration and production company currently pursuing a business strategy in the energy sector in South America, with an initial focus on identifying oil and gas exploration and production opportunities in Colombia. To that end, the Company has established a branch, La Cortez Energy Colombia, Inc., with offices in Bogota, Colombia, and has signed a Joint Operating Agreement for a 50% working interest in the Putumayo 4 block and a Joint Venture agreement for a 20% working interest in the Maranta block under private agreements. The assignment of the working interest in both blocks, Maranta and Putumayo-4 has to be approved by the Agencia Nacional de Hidrocarburos (ANH). La Cortez has acquired the interests of Avante Colombia, Inc. in the Rio de Oro and the Puerto Barco fields, all in Colombia.
For more information, please contact the Company`s Investor Relations department at 941-870-5433 or by email firstname.lastname@example.org.
All statements other than statements of historical facts included in this news release are "forward-looking statements." These statements are subject to risks and uncertainties. Words such as "believe," "expect," "anticipate," "intend," "estimate," "project," "target," "goal," "plan," "objective," "should," or worlds of similar import also identify forward-looking statements. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. We can give no assurances that the assumptions upon which the forward-looking statements are based will prove to be correct. There are a number of risks, uncertainties and other important factors that could cause our actual results to differ materially from the forward-looking statements including, but not limited to: (i) our ability to identify and exploit available corporate acquisition, farm-in and/or joint venture opportunities in the energy sector in Colombia and, more generally, in Latin America; (ii) our ability to establish technical and managerial infrastructure; (iii) our ability to raise required capital on acceptable terms and conditions; (iv) our ability to take advantage of, and successfully participate in such opportunities; (v) our ability to successfully operate, or influence our joint venture partners' operation of, the projects in which we participate in a cost effective and efficient way; and (vi) future economic conditions, political and regulatory stability and changes and volatility in energy prices. A description of some of the risks and uncertainties that could cause our actual results to differ materially from those described by the forward-looking statements in this news release appears in the section captioned "Risk Factors" in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") on April 1, 2011
SOURCE La Cortez Energy, Inc.