CALGARY, Feb. 5, 2014 /CNW/ - Calvalley Petroleum Inc. ("Calvalley" or
the "Company") provides the following update for shareholders.
Following recent disruptions in the Hadramout province, Calvalley has
been working with the Ministry Of Oil and other stakeholders to
mitigate the impact on production operations and reviewing alternatives
for the transportation of crude oil production.
Calvalley has received an approval from the Ministry and the operator of
Block 18 to access an alternative crude oil transfer location at Block
18 which markets crude oil through the Ras Isa terminal on the west
coast of Yemen, pending the restoration of access to the transfer
facilities to the Ash Shihr terminal.
The facilities at Block 18, which were used by the Company prior to the
commissioning of the truck off-loading facility at Block 51, have been
recently refurbished and tested to facilitate the transfer of crude oil
The Company has started trucking crude oil from its storage tanks to the
facility at Block 18, and is planning to resume production operations
as crude oil storage capacity becomes available.
The Company has completed the drilling of the appraisal well at Ras
Nowmah South and has moved the drilling rig to the Ras Nowmah 7
appraisal well location. Completion of the Ras Nowmah South well has
been deferred until crude oil storage capacity is available and the
drilling of the Ras Nowmah 7 appraisal well has been suspended due to
constraints on service companies to mobilize equipment in the area.
Calvalley is an international oil and gas company, with offices in
Calgary, Alberta, Canada, that operates its 50% working interest in
Block 9 of the Masila Basin, in The Republic of Yemen.
This press release may contain forward-looking information. Words such
as "may", "will", "should", "could", "anticipate", "believe", "expect",
"intend", "plan", "potential", "continue", and similar expressions may
have been used to identify this forward-looking information. These
statements reflect management's current beliefs and are based on
information currently available to management. In particular,
information relating to the completion of the Ras Nowmah South well,
the forward drilling plan and the access to alternative crude oil
transfer facilities and the resumption of production operations contain
forward looking information. Forward-looking information can involve
significant risk and uncertainties. A number of factors could cause
actual results to differ materially from the results discussed in the
forward-looking information including, but not limited to, operational
risks, availability of supplies and services, delays and interruptions
in drilling and completion activities for undetermined periods, changes
in general economic and market conditions and other risk factors.
Although the forward-looking information contained herein is based upon
what management believes to be reasonable assumptions, management
cannot assure that actual results will be consistent with this
forward-looking information. Investors should not place undue reliance
on forward-looking information. The forward-looking statements
contained herein are expressly qualified in their entirety by this
cautionary statement. The forward-looking information included in this
press release is made as of the date of this press release and
Calvalley assumes no obligation to update or revise it to reflect new
events or circumstances except as expressly required by applicable
SOURCE: Calvalley Petroleum Inc.
For further information:
firstname.lastname@example.org or +1 (403) 297-0490
Edmund Shimoon, Chairman and CEO
Gerry Elms, CFO