Hook Head Appraisal Well Logs 75 Feet of Net Pay In The Celtic Sea
Reservoir Quality Better Than Expected
Well Flow Testing Program to Commence Shortly
Shares outstanding: 96 Million
SYMBOL & EXCHANGE: FGT-V
MONTREAL, Sept. 10 /CNW Telbec/ - Forest Gate Resources Inc, together
with its partners is pleased to announce that it has successfully logged a
total of 75 feet of net hydrocarbon-bearing reservoir in the 50/11-3 Hook Head
appraisal well, offshore Ireland.
The well was drilled to a total depth (TD) of 4,880 feet true vertical
depth subsea (TVDSS). All geological horizons were encountered within the
pre-drill depth prognosis and significant oil and gas shows characteristic of
either a light oil or rich gas were encountered whilst drilling. This well,
located in 240 feet of water and approximately 60 kilometres offshore
Waterford, Ireland, is situated in Standard Exploration Licence 2/07 in the
North Celtic Sea Basin.
Preliminary petrophysical analysis of electric wireline logs acquired
over the main Lower Cretaceous target indicates a 484 foot gross
hydrocarbon-bearing interval. The reservoir zones are of equivalent age to
those encountered in the 50/11-1 & 2 wells, located approximately 2.5
kilometres and approximately 5 kilometres to the south-west, respectively.
Initial analysis of the data suggests an overall improvement in reservoir
quality at the 50/11-3 location, with average porosity of 20% within the main
In addition to the successful appraisal of the accumulation, a number of
further exploration objectives were also logged as hydrocarbon-bearing in the
well. The plan is now to set a string of casing prior to flow testing the
Upon completion of drilling operations, the revised(*) equity ownership in
the Hook Head discovery is Providence Resources Plc (Operator) 43.5294%,
Challenger Minerals (Celtic Sea) Limited 16.3235%, Dyas BV 16.3235%, Atlantic
Petroleum (Ireland) Limited 10.8824%, Forest Gate Resources Inc. 7.5%, Sosina
Exploration Limited 5.4412%.
Consistent with the above revised equity ownership, the Company also
reports that it has forfeited 7.5% of its 15% interest in the Celtic Sea joint
"We worked relentlessly through the summer to raise this financing to
maintain a level of participation in the project," said Michael Judson,
President and CEO of Forest Gate. "A 7.5% interest in these Celtic Sea
licenses offers Forest Gate enormous potential value," continued Judson. "The
results from the Hook Head appraisal well are extremely encouraging."
Forest Gate has $1.5 million in cash and must contribute approximately
$2.5 million to fund its share of ongoing exploration and well-testing
(*)subject to Ministerial approval
Forest Gate Resources Inc. is an international oil & gas exploration
company. The company is seeking to increase shareholder value through
participation and development of oil & gas exploration and production projects
in Ireland and Canada. The company's shares trade under the symbol FGT on the
TSX Venture Exchange.
This news release contains discussion of items that may constitute
forward-looking statements within the meaning of securities laws that involve
risks and uncertainties. Although the company believes the expectations
reflected in such forward-looking statements are based on reasonable
assumptions, it can give no assurances that its expectations will be achieved.
Factors that could cause actual results to differ materially from expectations
include the effects of general economic conditions, actions by government
authorities, uncertainties associated with contract negotiations, additional
financing requirements, market acceptance of the Company's products and
competitive pressures. These factors and others are more fully discussed in
Company filings with Canadian securities regulatory authorities.
The TSX Venture Exchange has not reviewed nor does it accept
responsibility for the adequacy or accuracy of this news release.
For further information:
For further information: Robert Kramberger, VP Investor Relations,
1-866-666-3040, firstname.lastname@example.org; www.forestgate.ca