Desmarais Updates Virginia Hills Prospect
TSX Venture Exchange Symbol: DES
CALGARY, Feb. 26, 2013 /CNW/ - Desmarais Energy Corporation (TSXV: DES) (the "Corporation" or "Desmarais") announces that a Farm-Out horizontal well in the Virginia Hills area located at 1-20-64-13-W5M has spudded, with drilling scheduled to take approximately 25 days. Pursuant to the farm-out arrangements, Desmarais has a 5% before payout royalty interest on 32.598% of production and a 30% working interest on 32.598% after payout in S/2 of 20-64-13-W5M.
The Virginia Hills area has been the recent focus of a number of industry players who have utilized horizontal drilling technology and multi-stage acid fracture stimulation to unlock light oil reserves in the Beaverhill Lake formation.
Desmarais will provide further information respecting drilling operations on the property as it becomes available.
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.
Advisory: This press release may contain certain forward-looking statements within the meaning of applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward looking statements. In particular, but without limiting the forgoing, this press release contains statements concerning the timing to drill the 1-20 well.
Forward-looking statements are based on a number of material factors, expectations or assumptions of Desmarais which have been used to develop such statements and information but which may prove to be incorrect. Although Desmarais believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because Desmarais 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 exploration and development activities at the Virginia Hills 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 and the ultimate size and scope of any hydrocarbon bearing formations at the Virginia Hills project. 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; increased costs and certain other risks detailed from time-to-time in Desmarais' 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 December 31, 2012. 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 Desmarais 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.
SOURCE: Desmarais Energy CorporationFor further information: