Canuc Resources Corporation Reports on MidTex Project

TSX Venture Exchange
Symbol: CDA
Shares Outstanding: 59,735,798

TORONTO, Sept. 14, 2011 /CNW/ - Canuc Resources Corporation ("Canuc" or the "Company") (TSXV:CDA) is pleased to report that it has completed a second gas well on its 320 acre lease in Stephens County Texas, USA. The Company purchased the first well (see press release dated May 20, 2011) which targeted 3 horizons, the Lauderdale sand the Upper Big Saline and the Strawn Sand. All three horizons were intersected where expected and the well is presently producing approximately 30 Mcf of gas per day from the Upper Big Saline. A considerable amount of water is currently flowing down the well from the overlying Lauderdale sand zone. This excess water inhibits gas flow from the producing zone to the surface. Two alternatives are currently being assessed to address this issue: adding a larger pump to increase production, or alternatively, installing a bridge plug above the Big Saline horizon to reduce water inflow and testing the Strawn sand horizon which is a known oil and gas producer in this area.

The Company completed a second well, located about 2,000 feet south and east of the first in August 2011. The well targeted and was completed in the Lower Big Saline horizon. The well is currently producing about 70 Mcf per day. Some of the sand that was injected into the formation during hydraulic fracturing ("fracking") moved back to the well bore and interfered with pumping. The well was flushed and the pump is in the process of being replaced, which should increase production substantially.

It is important to note that the natural gas produced from both of these wells also contain condensates which enhances the value of the natural gas and is sold at a premium price.

The MidTex activities are secondary to the development of our assets in Nova Scotia and Southeastern Ecuador. However, we believe that the development of this project at a moderate cost and risk in the short term will provide steady ongoing monthly cash flow in order to fund exploration, development and overheads of our primary exploration projects.

About Canuc

Canuc is a Canadian based exploration Company focused on identifying and developing mineral projects in the Americas. The Company has been methodically assessing and acquiring assets in Nova Scotia, Canada and Texas, USA to complement its Ecuadorian mineral assets.  Management considers that these projects currently offer a particularly favourable environment for mineral exploration and development.  The Company intends to continue to acquire quality precious metal projects in the Americas.  Management of the Company has a proven record of discovery, resource expansion, permitting and developing projects through to production.

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 of this release.

Forward-Looking Statements
This news release contains forward-looking statements that include risks and uncertainties. When used in this news release, the words "estimate", "project", "anticipate", "expect", "intend", "believe", "hope", "may" and similar expressions, as well as "will", "shall" and other indications of future tense, are intended to identify forward-looking statements. The forward-looking statements are based on current expectations and apply only as of the date on which they were made. The factors that could cause actual results to differ materially from those indicated in such forward-looking statements include changes in the prevailing price of gold, the Canadian-United States exchange rate, grade of ore mined and unforeseen difficulties in mining operations that could affect revenues and production costs. Other factors such as uncertainties regarding government regulations could also affect the results. Other risks may be set out in Annual Reports.

SOURCE Canuc Resources Corporation

For further information:

Gary Lohman, President & CEO
416-867-1300
glohman@canucresources.ca    




























Chris Berlet, Director
416-867-1300
info@canucresources.ca

 

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Canuc Resources Corporation

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