CALGARY, Sept. 8, 2014 /CNW/ - Petro-Victory Energy Corp. ("Petro-Victory" or the "Company") (TSX-V: VRY)
Petro-Victory Energy spuds target #2 at Lapacho
President Energy PLC, the Operator of our exploration drilling campaign ongoing in Paraguay announced that the Lapacho well had spud ahead of schedule, on September 2nd.
The approximately 4600 meter well is expected to take 70 days to drill, targeting a 400 meter section predicted to contain Santa Rosa Formation reservoir sandstone, immediately underlying the Devonian source rock.
The Lapacho prospect has been upgraded by the Operator and significantly de-risked, based on evaluation of the recent Jacaranda well results (drilled 15km to the NE). This potentially proves the existence of the "live" Middle and Lower Devonian source rock and sealing shale, that seismic indicates, overlies the Santa Rosa reservoir targeted by the Lapacho well.
Richard Gonzalez, CEO of Petro-Victory commented:
"The technical knowledge the Operator has gained from the Jacaranda well analysis and subsequently shared with us, proves the existence of live Devonian source rock in the Pirity Basin and improves the risk profile of the Lapacho prospect considerably. After all, the Santa Rosa sandstone target, which both we and the Operator predict lies directly below a live Devonian source rock section at the Lapacho well site, is one of the most prolific gas-condensate reservoirs in neighboring Bolivia where such wells produce in excess of 100MMCFPD with very high associated condensate and NGLs. While we would have preferred to find commercial hydrocarbons by our target depth at Jacaranda, we are very pleased with the geological and petro-physical findings that now add significant confidence to our Lapacho prospect and additional wells, and may give us cause to deepen Jacaranda. We are highly encouraged."
An independent prospective resource audit of the Lower Devonian structure found in the greater Lapacho prospect area, conducted by RPS Group PLC (www.RPSGroup.com) and dated June 1, 2014 (prior to benefit from the Jacaranda results), estimated substantial prospective resources of 1.126 Tcf of natural gas and 34MM bbls of condensate attributable to Petro-Victory's working interest share, in the mean case, unrisked scenario. Once proven, it is anticipated that more than one well will be required to exploit the full potential of the Lapacho prospect area (the RPS report referenced was disclosed by the Company on August 14, 2014, see: Results of Audit of Significant Additional Prospective Resources for the Lapacho Prospect).
For further information about the Lapacho prospect and the Operator's analysis of drilling results thus far, please see President Energy's Press Release published, September 4th entitled: Lapacho Well Spuds, Jacaranda well evaluation shows major shale associated resource potential estimated in excess of 20Tcf gas in place, and the associated slide presentation (available at www.presidentenergyplc.com).
Company management believes it is important to clarify that no insiders have sold, transferred or hypothecated in any way, their stock in the Company to date.
Petro-Victory Energy Corp. is a publicly held British Virgin Islands company with headquarters based in Fort Worth, Texas, United States. Petro-Victory is an exploration and development company that has spent more than six years and invested more than USD $50 million to develop prospects in Paraguay's highly prospective Pirity Basin. In parallel with efforts in Paraguay, the Company intends to develop or acquire additional highly-prospective or producing assets elsewhere worldwide.
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 release.
Advisory Regarding Forward-Looking Statements and Resource Disclosure
In the interest of providing Petro-Victory's shareholders and potential investors with information regarding Petro-Victory, including management's assessment of Petro-Victory's future plans and operations, certain statements in this press release are "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation (collectively, "forward-looking statements"). In some cases, forward-looking statements can be identified by terminology such as "anticipate", "believe", "continue", "could", "estimate", "expect", "forecast", "intend", "may", "objective", "ongoing", "outlook", "potential", "project", "plan", "should", "target", "would", "will" or similar words suggesting future outcomes, events or performance. The forward-looking statements contained in this press release speak only as of the date thereof and are expressly qualified by this cautionary statement.
Specifically, this press release contains forward-looking statements relating to but not limited to: our business strategies, plans and objectives, drilling and exploration expectations, future well operations, the anticipated benefits of the recently drilled well, and future operations on the recently drilled well. These forward-looking statements are based on certain key assumptions regarding, among other things: exploration activities; the receipt, in a timely manner, of regulatory and other required approvals for our operating activities; the availability and cost of labor and other industry services; the continuance of existing and, in certain circumstances, proposed tax and royalty regimes; and current industry conditions, laws and regulations continuing in effect (or, where changes are proposed, such changes being adopted as anticipated). Readers are cautioned that such assumptions, although considered reasonable by Petro-Victory at the time of preparation, may prove to be incorrect. The resource information contained in the news release incorporated into this release is that of President Energy PLC and not the Company's. The resource disclosure for the Company is contained in our Final Prospectus dated July 11, 2014 , and our other disclosure as filed with Canadian securities regulatory authorities at www.sedar.com. Actual results achieved will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. These and additional risk factors are contained in our Final Prospectus dated July 11, 2014 , as filed with Canadian securities regulatory authorities at www.sedar.com.
The above summary of assumptions and risks related to forward-looking statements in this press release has been provided in order to provide shareholders and potential investors with a more complete perspective on Petro-Victory's current and future operations and such information may not be appropriate for other purposes. There is no representation by Petro-Victory that actual results achieved will be the same in whole or in part as those referenced in the forward-looking statements and Petro-Victory does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities law.
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SOURCE: Petro-Victory Energy Corp.
For further information: Petro-Victory Energy Corp., Richard F. Gonzalez, President and CEO, 972-239-3084; Mark Bronson, CFO and Corporate Secretary, 817-838-4744; Brisco Capital Partners Corp., Scott Koyich, 403-619-2200