Listed: TSX Venture Exchange (Symbol: EOR)
HOUSTON, TX, Oct. 22 /CNW/ - Enhanced Oil Resources Inc. (the "Company")
is pleased to announce that it has contracted with the Nicholas Consulting
Group, Midland Texas to initiate a pilot project design study for the
injection of CO2 into the Milnesand San Andres Oilfield, located in Chavez
County, New Mexico.
The front end engineering and design (FEED) study will include cost
estimates for the installation and operation of surface facilities to support
the proposed pilot CO2 flood and processes required for the implementation and
operation of the pilot. The pilot flood design will include components for the
re-injection of any produced CO2 and will maintain a closed loop system of
On a parallel course the Company is conducting an in-house reservoir
study to determine the location of, and injection parameters for, the pilot
project. At the same time, the Company is communicating with the New Mexico
State Land Office and the New Mexico Oil Conservation Division to ensure that
all required permits will be timely filed.
Over the past two months the Company has been conducting a workover
program at the Milnesand and Chaveroo fields with current production
increasing to approximately 130 boepd. Several additional wells are expected
to be brought back on line in the near term.
EOR Inc.'s President and CEO Mr. Barry Lasker reports " The Nicholas
Consulting Group is a well known engineering firm in the Permian Basin and has
considerable experience with the design and implementation of CO2 floods. We
are pleased to be working with the Nicholas Group to get the ball rolling on
our CO2 pilot floods and we look forward to reporting ongoing milestones. We
are also pleased that production from our workover program has increased as
expected and that additional production enhancements can be anticipated down
the road. With current oil prices in the $80/barrel range it behooves us to
accelerate the workover program wherever possible."
Enhanced Oil Resources Inc. is a development stage, enhanced oil recovery
(EOR), company that controls approximately 235,000 acres of land within the St
Johns Helium/CO2 field in Arizona and New Mexico where the Company is
developing what is thought to be the largest undeveloped resource of helium
and carbon dioxide gases in North America. Independent engineering firms have
estimated that the St Johns field contains approximately 15 trillion cubic
feet of in place resources, with a potential recoverable resource of 5
trillion cubic feet. Development of the project could result in the Company
becoming one of North America's largest CO2 suppliers and EOR producers. The
Company's strategic focus for CO2 delivery and EOR production is the Permian
Basin where significant potential exists for enhanced oil recovery from
mature, depleted oil fields.
ON BEHALF OF THE BOARD OF DIRECTORS
Barry D Lasker, CEO
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information:
For further information: visit our Website at www.enhancedoilres.com, or
Retail Investors please call Don Currie on 1-888-990-3551