CUT BANK, MT, Aug. 9, 2011 /PRNewswire/ - Mountainview Energy Ltd. (TSXV: MVW) ("Mountainview" or the "Company") is pleased to announce an operational up-date on the drilling of the Olson 1-21-16H, a horizontal well spudded in April 2011 in the SESE-Section 21-Township 29 North, Range 57 East, Roosevelt County, Montana by G3 Operating a subsidiary of GeoResources, Inc., a U.S. Public Company traded on NASDAQ (the "Well").
Operations on the Well were subsequently suspended due to mechanical and geo-steering issues. As the Company is participating in the Well as a 12.5% working interest partner, G3 recently advised that the Ensign Rig # #71 has moved in and rigged up on the drill site. Drilling operations have commenced after re-evalution of operational procedures. G3 reported that they have updated seismic, as well as geologic and geophysical data more conducive for successful drilling operations. The vertical leg of the Well has been completed and the horizontal leg will be the focus of the current drilling operations. The anticipated total depth of the Well is 19,420 feet with a total horizontal leg in the Bakken Shale of 1,280 acres (approximately 10,500 feet).
Several producing wells have recently been drilled and completed in the Bakken Shale in the vicinity of the Company's Montana Bakken acreage. There is production to the south, recently reported by Brigham Exploration on the Gobbs 17-8 #1H well located in Section 17-Township 28 North, Range 57 East, with initial production of 1,818 barrels of oil equivalent ("BOE") per day and the #1-H Swindle well, located in Section 16-Township 28 North, Range 57 East, Roosevelt County, MT, with initial production of 1,065 BOE per day. Production is reported to the north on the Taqa North USA, Inc Hellegaard #9-12H, located in Section 9-Township 37 North, Range 57 East, Sheridan County, MT, a 640 acre horizontal well with initial production of 433 BOE per day. Production is reported to the east on a 640 acre horizontal well drilled by GeoResources, Inc, being the Carlson 1-11H located in Section 11-Township 57 North, Range 103 West, Williams County, ND, with initial production of 685 BOE per day. According to the State of Montana Board of Oil & Gas, TAQA has 8 producing horizontal Bakken wells in northern Sheridan County.
The Company's strategy is to grow through acquiring more Williston Basin acreage targeting the Bakken/Three Forks Shale and developing the acreage in the Company's portfolio. The Company plans to drill and complete horizontal wells on the Company's existing acreage, as well as aggressively pursuing non-operated working interests in Bakken and Three Fork wells in the Williston Basin.
Mountainview Energy Ltd is a public oil and gas company listed on the TSX Venture Exchange, with a primary focus on the exploration, production and development of the Bakken and Three Forks Shale in the Williston Basin and the South Alberta Bakken play.
Certain information contained in this press release constitutes forward-looking statements, including, without limitation, information related to Mountainview's participation in the Well, the timing, operatorship and depth of the Well and the Company's future operational plans. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the party's control including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, environmental risks, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and ability to access sufficient capital from internal and external sources, inability to meet or continue to meet listing requirements, the inability to obtain required consents, permits or approvals and the risk that actual results will vary from the results forecasted and such variations may be material. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company's actual results, performance or achievement could differ materially from those expressed in or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom.
The forward-looking statements contained in this press release are made as of the date of this press release. Mountainview disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Additionally, Mountainview undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.
All calculations converting natural gas to barrels of oil equivalent ("boe") have been made using a conversion ratio of six thousand cubic feet (six "Mcf") of natural gas to one barrel of oil, unless otherwise stated. The use of boe may be misleading, particularly if used in isolation, as the conversion ratio of six Mcf of natural gas to one barrel of oil is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Mountainview Energy Ltd.