Griffiths Energy International Inc. Spuds the First Badila Development Well in Chad

CALGARY, Nov. 29, 2012 /CNW/ - Griffiths Energy International Inc. ("Griffiths" or the "Company") today announced it has commenced drilling operations in southern Chad, spudding the first development well in the Badila Field.

"The spudding of this development well follows a thorough testing program undertaken earlier this year," said Gary Guidry, President and CEO of Griffiths Energy. "We look forward to announcing the results as and when is practicable."

During 2013 Griffiths intends to simultaneously develop not only the Badila Field but also the nearby Mangara field. The Company will be drilling two new wells and recompleting Badila-1 before moving the drilling rig to the Mangara Field to commence development drilling there.

The Badila Field is approximately 17 kilometres from an export pipeline to the Atlantic Ocean and the Mangara field is approximately 120 kilometres from the same pipeline. Griffiths is currently building a pipeline connection from both fields to the export pipeline and expects to complete the tie-in early in 2013.

Both the Badila Field and the Mangara Field are located on Griffiths' DOI / DOB block, which covers an area of approximately 2,744 square kilometers in the southwestern region of Chad. The newly-spudded well, named Badila-2, is expected to be drilled to a depth of 2,100 meters and is targeting Lower Cretaceous sandstone reservoirs. As the first development well in the field, the Company has an extensive coring, logging and flow testing program with results expected during first quarter of 2013.

As previously disclosed, a prior exploration well, Badila-1, was drilled by a previous operator in 2002 but was not flow tested at the time even though downhole sampling suggested moveable light oil in the Lower Cretaceous horizons. After in-depth analysis of the available information on the Badila-1 well, Griffiths concluded Badila-1 was a potential discovery with an estimated 123 meters of net oil pay in the Lower Cretaceous (C and D sands).  The mechanical condition of the well, as abandoned by the original operator, only allowed access to perforate 23.5 meters of the net oil pay in the C sands.

Based on the Company's internal analysis, in April of 2012 the Badila-1 was re-entered and tested the 23.5 meters of oil pay that was mechanically accessible.  The results of the multi-rate well test showed the sandstone reservoirs to be highly permeable with natural flow of light 31-32o API crude oil at rates of approximately 3,000 - 4,000 barrels per day over a period of 24 hours with 0% water-cut.  These production rates were constrained by the physical testing and flaring equipment at surface.

The Company applied for an Exclusive Exploitation Authorization for Badila, which was granted by the Government of Chad August 10, 2012.  The Company will be drilling two new wells and recompleting Badila-1 before moving the drilling rig to the Mangara field to commence development drilling.

About Griffiths Energy International Inc.

Based in Canada, Griffiths is an international exploration and development Company focused on oil and gas exploration, development and production activities in the Republic of Chad, Africa. In 2011, the Company acquired the PSCs from the government of the Republic of Chad. These PSCs provide exclusive rights to explore and develop reserves and resources over a combined area of 26,103 km2 in southern Chad. The PSCs cover two world class oil basins with development opportunity, oil discoveries, and numerous exploration prospects.


Certain of the information contained in this press release constitutes forward-looking statements under applicable securities law. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expects", "seeks" and similar expressions. Specific forward-looking statements included in this press release include comments related to the development of the Badila and Mangara fields and associated timing, expected drilling results, expected testing results, expected production rates and other matters.

SOURCE: Griffiths Energy International Inc.

For further information:

Gary Guidry
President and Chief Executive Officer
Griffiths Energy International Inc.

Trevor Peters
Chief Financial Officer
Griffiths Energy International Inc.

Alan Bayless, Longview Communications

Edward Westropp
FTI Consulting-Strategic Communications

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Griffiths Energy International Inc.

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