CALGARY, Nov. 1, 2011 /CNW/ - Carmen Energy Inc. (TSXV: CEI) ("Carmen" or the "Corporation") is pleased to announce that the Corporation, with its Partners has
completed drilling to the contracted depth on the second of two Leduc
test ("Leduc well") wells at Sylvan Lake, Alberta and the horizontal
Glauconitic development well ("Glauconitic Horizontal well") in the
Viking-Kinsella, Alberta area.
After a review of the logs and samples of the aforementioned wells, the
Company and its Partners have undertaken to case the Leduc well and
commence completion and testing operations. The Glauconitic Horizontal
well reached a measured depth of 1,740 metres with a horizontal section
of 890 metres and was cased for completion, stimulation and production
The Company anticipates testing on both wells to transpire within the
next 14 to 28 days, dependent on availability of equipment and services
in the areas.
Under the terms of the farmin agreement on the Leduc Reef Exploration
well in the Sylvan Lake, Alberta area, Carmen is paying 25% of all
costs to completion of testing to earn a 16.25% working interest in the
well and entire section of land the well is located on.
Under the terms of the farmin agreement on the horizontal Glauconitic
development well in the Viking-Kinsella, Alberta area, Carmen is paying
100% of the costs to drill to the contract depth, abandonment, capping
or completion, equipping and tie-in to earn a 60% working interest in
the well and half-section of land the well is located on.
Provided that the proposed transaction to acquire Shorthorn Exploration
Ltd ("Shorthorn") as provided in a Letter of Intent announced by Carmen
on September 19, 2011 is completed, the farmin agreement relating to
the Horizontal Glauconitic Development well in the Viking, Alberta area
shall be superseded by virtue of Carmen's acquisition of Shorthorn.
About Carmen Energy Inc.: Carmen is based in Calgary, Alberta and a publicly traded oil and gas
exploration and production company. The focus is on exploration and
development of Western Canadian Sedimentary Basin based oil and gas
properties. The current projects are the Jumpbush properties in south
eastern Alberta, the Ferrybank properties in central Alberta, the
Sylvan Lake area properties in Southern Alberta and the Hamburg
properties in northern western Alberta.
FORWARD LOOKING INFORMATION
Certain information in this news release is forward-looking within the
meaning of certain securities laws, and is subject to important risks,
uncertainties and assumptions. This forward-looking information
includes, among other things, the availability of completion equipment
and services, the ability for the Corporation to finalize the
acquisition of Shorthorn and information with respect to the
Corporation's beliefs, plans, expectations, anticipations, estimates
and intentions and the activities of the Corporation after the proposed
acquisition of Shorthorn. The words "may", "could", "should", "would",
"suspect", "outlook", "believe", "anticipate", "estimate", "expect",
"intend", "plan", "target" and similar words and expressions are used
to identify forward-looking information. . The forward-looking
information in this news release describes the Corporation's
expectations as of the date of this news release.
The results or events anticipated or predicted in such forward-looking
information may differ materially from actual results or events.
Material factors which could cause actual results or events to differ
materially from such forward-looking information include, among others,
the risks associated with the oil and gas industry in general, risks
arising from general economic conditions and adverse industry events,
risks arising from operations generally, reliance on contractual rights
such as licences and leases in the conduct of its business, the
uncertainty of reserve and resource estimates; the uncertainty of
estimates and projections relating to reserves, resources, production,
costs and expenses; reliance on third parties, reliance on key
personnel, possible failure of the business model or business plan or
the inability to implement the business model or business plan as
planned, competition, environmental matters, and insurance or lack
thereof; failure to realize the anticipated benefits of acquisitions
including the proposed aacquisition of Shorthorn; ability to access
sufficient capital from internal and external sources; changes in
legislation, including but not limited to tax laws, royalties and
The Corporation cautions that the foregoing list of material factors is
not exhaustive. When relying on the Corporation's forward-looking
information to make decisions, investors and others should carefully
consider the foregoing factors and other uncertainties and potential
events. The Corporation has assumed a certain progression, which may
not be realized. It has also assumed that the material factors referred
to in the previous paragraph will not cause such forward-looking
information to differ materially from actual results or events.
However, the list of these factors is not exhaustive and is subject to
change and there can be no assurance that such assumptions will reflect
the actual outcome of such items or factors.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE
REPRESENTS THE EXPECTATIONS OF THE CORPORATION AS OF THE DATE OF THIS
NEWS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE.
READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING
INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER
DATE. WHILE THE CORPORATION MAY ELECT TO, IT DOES NOT UNDERTAKE TO
UPDATE THIS INFORMATION AT ANY PARTICULAR TIME.
Neither the 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 press
SOURCE Carmen Energy Inc
For further information:
President and Chief Executive Officer