CALGARY, Oct. 1, 2013 /CNW/ - Caracal Energy Inc. ("Caracal Energy" or
the "Company") today announced its first joint-venture oil shipments
from the Badila field in Chad.
On June 9, 2013, His Excellency President Idriss Deby Itno held a
ceremony to inaugurate the Company's production facilities and flowed
first oil into those facilities.
Yesterday, September 30, the Company commenced oil production from the
Badila field into its transportation system that connects Badila to the
main export line operated by TOTCO/COTCO, referred to as the Export
Transportation System ("ETS"). The Company will initially produce oil
to fulfill the joint venture's share of the ETS line-fill, which is
estimated at just over 450,000 barrels, after which it can accumulate
oil for sale. Initial production is coming from the Badila-1 and
Badila-2 wells, and additional Badila wells will be tied in for
production in coming months as processing capacity is increased.
The 30-inch diameter ETS, which will carry the joint venture's oil
production to the Atlantic Ocean port of Kribi in Cameroon, has the
capacity to transport 250,000 barrels of oil per day, of which
approximately 150,000 barrels per day is currently unused.
Caracal's Joint-Venture partners are Société des Hydrocarbures du Tchad,
a government-owned entity, and GlencoreXstrata plc.
"First oil production is a milestone for our Joint Venture following the
ceremonial inauguration of our production facilities by His Excellency
President Idriss Deby Itno on June 9, 2013. We are very pleased to
begin producing into the TOTCO/COTCO ETS, with first revenue expected
in Q1 2014. Our development drilling and construction of additional
facilities and transportation infrastructure has continued over the
summer, and we are on schedule to provide additional production from
Badila and Mangara fields in the coming months," commented Gary Guidry,
President and Chief Executive Officer.
About Caracal Energy Inc.
Based in Canada, Caracal Energy Inc. is an international exploration and
development company focused on oil and gas exploration, development and
production activities in the Republic of Chad, Africa. In 2011, the
Company entered into three production sharing contracts ("PSCs") from
the government of the Republic of Chad. These PSCs provide exclusive
rights to explore and develop reserves and resources over a combined
area of 26,103 km2 in southern Chad. The PSCs cover two world-class oil
basins with development opportunity, oil discoveries, and numerous
The Company trades on the London Stock Exchange under the symbol CRCL.
Certain information in this press release constitutes forward-looking
statements under applicable securities law. Any statements that are
contained in this press release that are not statements of historical
fact may be deemed to be forward-looking statements. Forward-looking
information and statements are often, but not always, identified by the
use of words such as "anticipate", "seek", "believe", "expect", "hope",
"plan", "intend", "forecast", "target", "project", "guidance", "may", "
might", "will", "should", "could", "estimate", "predict" or similar
words or expressions suggesting future outcomes or language suggesting
an outlook. Specific forward looking statements included in this press
release include comments related to the expected timing of pipeline
completion and facilities advancement; potential production rates;
timing of the pipeline-fill and tie-in for production; expected
completion of well servicing operations; additional development of the
Mangara and Badila field; expected drilling of the other prospects; and
other matters. Subject to applicable securities laws, the Company does
not undertake any obligation to revise this forward-looking information
or these forward-looking statements to reflect subsequent events or
circumstances. The forward-looking information and statements contained
in this press release are expressly qualified by this cautionary
statement. Well-test results and production rates are not necessarily
indicative of long-term performance or of ultimate recovery.
SOURCE: Caracal Energy Inc.
For further information:
Caracal Energy Inc.
Gary Guidry, President and Chief Executive Officer
Trevor Peters, Chief Financial Officer
Longview Communications - Canadian Media Enquiries
FTI Consulting - UK Media Enquiries
Ben Brewerton / Ed Westropp
+ 44 (0) 207 8313 3113