CALGARY, Sept. 10 /CNW/ - Cinch Energy Corp. ("Cinch" or "the Company")
is pleased to provide an update on its operating activities.
Cinch has completed testing four wells, one in each of its core areas of
Musreau, Kakwa, Chime, and Dawson. The Company estimates that these four wells
will initially add approximately 1100 BOE/d of net production to the Company's
current production base of 1250 BOE/d. It is anticipated, on the basis that
the tie-ins proceed on schedule, that these wells will commence production
between October 1st and year-end, and hence the Company is projecting that it
will meet its 1900 BOE/d exit rate. As a result of the positive test results
from these well completions, the Company has added a total of 10 seismically
defined locations to the Company's capital program for 2007 and 2008.
The Company remains active in its core areas and has budgeted to commence
drilling an additional 8 wells before year end.
Forward Looking Statements
Statements throughout this release that are not historical facts may be
considered to be "forward looking statements". These forward looking
statements sometimes include words to the effect that management believes or
expects a stated condition or result. All estimates and statements that
describe the Company's objectives, goals, or future plans, including
management's assessment of future plans and operations, future production
rates, expected production increases and the timing thereof, drilling,
completion and tie-in plans and the timing thereof, and the expected levels of
activities may constitute forward-looking statements under applicable
securities laws and necessarily involve risks including, without limitation,
risks associated with oil and gas exploration, development, exploitation,
production, marketing and transportation, volatility of commodity prices,
imprecision of reserve estimates, environmental risks, competition from other
producers, incorrect assessment of the value of acquisitions, failure to
complete and/or realize the anticipated benefits of acquisitions, delays
resulting from or inability to obtain required regulatory approvals and
ability to access sufficient capital from internal and external sources and
changes in the regulatory and taxation environment. As a consequence, the
Company's actual results may differ materially from those expressed in, or
implied by, the forward-looking statements. Readers are cautioned that the
foregoing list of factors is not exhaustive. Additional information on these
and other factors that could affect the Company's operations and financial
results are included elsewhere herein and in reports on file with Canadian
securities regulatory authorities and may be accessed through the SEDAR
website (www.sedar.com), or at the Company's website (www.cinchenergy.com).
Furthermore, the forward looking statements contained in this release are made
as at the date of this release and the Company 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 laws.
Barrel of Oil Equivalency
Natural gas volumes are converted to barrels of oil equivalent (BOE) on
the basis of six thousand cubic feet (mcf) of gas to one barrel (bbl) of oil.
The term "barrels of oil equivalent" may be misleading, particularly if used
in isolation. A BOE conversion ratio of six mcf to one bbl is based on an
energy equivalency conversion method primarily applicable at the burner tip
and does not represent a value equivalency at the wellhead.
For further information:
For further information: John W. Elick, Chief Executive Officer, Tel:
(403) 693-0090, email@example.com; George Ongyerth, President, Tel: (403)
693-0090, firstname.lastname@example.org; Or visit our website at