/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE
TRADING SYMBOL - GRT
CALGARY, Dec. 19 /CNW/ - G2 Resources Inc. ("G2") (TSXV - "GRT")
announced today that it has now completed the drilling of two wells in its
project area of Windfall, Alberta where G2 and partners are exploring for
liquid rich gas in the Blueridge and Nisku formations of the Winterburn group.
The first of a two well program in which G2 has a 33% working interest was
drilled to a total depth of 2770 meters (9,088 feet) and the logs indicate
13 metres (43 feet) of net pay. The lower portion of the original wellbore was
plugged back above the water line, and a sidetrack wellbore was drilled
six meters (20 feet) into the pay zone, terminating seven meters (23 feet)
above the water line. This sidetrack wellbore will be used as the production
hole. Preliminary clean up testing was conducted at rates of 1.5 to 2.0 mmcf
per day (250 to 330 boepd) and 70 barrels of condensate per mmcf. Pipeline
construction is under way, and it is expected the well will be placed on
production early in January, 2008.
The second well in this project, in which G2 has a 38% working interest,
commenced drilling November 19, 2007 and has now been directionally drilled to
a total depth of 2839 meters (9,642 feet). This well has encountered five
potential porous intervals, including 24 meters (79 feet) of net pay in the
Winterburn formations. Based on the log interpretations for this well, G2 and
partners have initiated the installation of pipeline and facility equipment
for this well, with a start-up date targeted for mid/late January, 2008.
Production testing of this second well will commence in the next few days.
The second well was drilled under a farmin agreement covering
9,820 acres. G2 has a continuing option under the farmin agreement to earn
additional lands by continued drilling. The Windfall project is an area of
Alberta where G2 currently has an interest in 5,760 gross acres of land, and
has access to 70 square miles of seismic which covers the Windfall project.
Per barrel of oil equivalent ("boe") amounts may be misleading,
particularly if used in isolation. A boe conversion ratio has been calculated
using a conversion rate of six thousand cubic feet of natural gas to one
barrel of oil (6 Mcf: 1 bbl) and is based on an energy equivalency conversion
method applicable at the burner tip and does not represent a value equivalency
at the wellhead.
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements including
expectations of future production, cash flow and earnings. These statements
are based on current expectations that involve a number of risks and
uncertainties, which could cause actual results to differ from those
anticipated. These risks include, but are not limited to: the risks associated
with the oil and gas industry (e.g. operational risks in development,
exploration and production, delays or changes to plans with respect to
exploration or development projects or capital expenditures or availability of
drilling equipment; the uncertainty of reserve estimates; the uncertainty of
estimates and projects relating to production, costs and expenses, and
environmental risks), commodity price, price and exchange rate fluctuation.
Additional information on these and other factors that could affect G2's
operations or financial results are included in management's discussion and
analysis of G2's quarterly financial results filed with Canadian securities
regulatory authorities that may be accessed at www.sedar.com.
The TSX Venture Exchange Inc. does not accept responsibility for the
adequacy or accuracy of this release.
For further information:
For further information: Curtis A. Hartzler, President and CEO, G2
Resources Inc., Phone (403) 263-4310, Fax No. (403) 263-4368