Shares outstanding: 119 Million
SYMBOL & EXCHANGE: FGT-V
MONTREAL, Feb. 15 /CNW Telbec/ - Forest Gate Resources Inc. is pleased to
confirm that it has secured a semi-submersible rig for a drilling campaign in
the Celtic Sea during the summer of 2008. This follows Forest Gate's
announcement made October 11th 2007, confirming the presence of a significant
oil accumulation at the Hook Head structure with the drilling of the 50/11-3
Under the terms of the deal, the operator Providence, on behalf of Forest
Gate and its Celtic Sea partners, has hired the Transocean semi-submersible
rig, the GSF Arctic 2. The contract consists of two wells plus an option on a
third well. The primary objective of the drilling campaign will be to further
appraise the Hook Head oil accumulation. Depending on the outcome of this
appraisal program, the partners may then elect to drill a further appraisal
well on the adjacent Dunmore East 50/6-1 oil discovery, located some
20 kilometres north of the Hook Head accumulation. Details on the precise
drilling locations and the sequencing of drilling will be confirmed over the
The Hook Head appraisal well 50/11-3 was located in approximately 240 ft.
water depth and situated approximately 60 kilometers offshore southern Ireland
in Standard Exploration License 2/07 in the North Celtic Sea Basin.
Some of the key results determined from the drilling program and the
preliminary evaluation of the well data were:
- The hydrocarbon type recovered is now confirmed as good-quality
30 degree API oil with associated gas.
- Hydrocarbons were encountered over a 484 ft. gross interval in the main
target zone with 75 ft. of net hydrocarbon bearing section.
- The reservoir is normally pressured to approximately 1,170 psi at
approximately 2,550 ft. TVDSS.
- The reservoir porosities within the hydrocarbon bearing zones are up to
- The well was drilled on the crest of the structure and was on
geological prognosis confirming the pre-drill interpretation.
- Three further prospective zones, which were identified pre-drill as
exploration targets for the well, were all logged as being hydrocarbon-
bearing. These good quality reservoir zones, which are above the main
target zone, had good oil/gas shows whilst drilling and logged a
cumulative of approximately 20 ft. of additional net pay.
The success of Hook Head would justify economic development of the
additional Celtic Sea fields. Forest Gate has a 7.5% interest in two licenses
in the Celtic Sea, Ireland. These licenses include, in addition to the Hook
Head discovery, three discoveries which have flowed oil and gas. For example,
Dunmore and Helvick, which are both within 40 km of Hook Head, have both
flowed oil, while Ardmore has flowed gas. In addition, there are two other oil
prospects, Blackrock and Rushane. Blackrock has the potential to be an even
larger field than Hook Head.
About the Company
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, V-P, Investor Relations,
1-866-666-3040, email@example.com, www.forestgate.ca