CALGARY, Jan. 22 /CNW/ - Sterling Resources Ltd. ("Sterling") (TSX-V:SLG)
is pleased to announce the successful testing of the Breagh well located on
Block 42/13 in the United Kingdom Southern North Sea. Sterling holds a 45%
interest and is the operator of the block.
The 42/13-5z horizontal well tested dry gas at a maximum flow rate of 26
million standard cubic per day (MMscf/d) on an 80/64 inch choke setting at a
flowing wellhead pressure of approximately 890 pounds per square inch (psig).
Further inflow testing was performed using various choke sizes over a 60 hour
These results are currently being integrated with data from the drilling
of the 42/13-4, 5 and 5z wells, in order to optimize well requirements for
development. The results are expected to show an increase in gross rock volume
in excess of 20% compared to previous estimates.
John Rapach, Sterling's Vice President of Operations stated, "Sterling
has achieved all objectives set for the appraisal of the Breagh field during
the 2008 drilling campaign; additional gas was discovered with the 42/13-4
well on the eastern side of the structure, and now we have drilled and tested
the 42/13-5z well which brings the Breagh field one step closer to
development. We now have three wells ready for production with the 42/13-3 and
42/13-5z wells side-by-side at the correct spacing and ready for tie-back to a
production platform. Our next step is to file a Field Development Plan for
approval by the UK Government."
Sterling Resources Ltd. is a Canadian-listed international oil and gas
company headquartered in Calgary, Alberta with assets in the United Kingdom,
Romania and France. The shares are listed and posted for trading on the TSX
Venture Exchange under the symbol "SLG".
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
All statements included in this press release that address activities,
events or developments that Sterling expects, believes or anticipates will or
may occur in the future are forward-looking statements. In addition,
statements relating to reserves or resources are deemed to be forward-looking
statements as they involve the implied assessment, based on certain estimates
and assumptions that the reserves and resources described can be profitably
produced in the future.
These forward-looking statements involve numerous assumptions made by
Sterling based on its experience, perception of historical trends, current
conditions, expected future developments and other factors it believes are
appropriate in the circumstances. In addition, these statements involve
substantial known and unknown risks and uncertainties that contribute to the
possibility that the predictions, forecasts, projections and other-forward
looking statements will prove inaccurate, certain of which are beyond
Sterling's control, including: the impact of general economic conditions in
the areas in which Sterling operates, civil unrest, industry conditions,
changes in laws and regulations including the adoption of new environmental
laws and regulations and changes in how they are interpreted and enforced,
increased competition, the lack of availability of qualified personnel or
management, fluctuations in commodity prices, foreign exchange or interest
rates, stock market volatility and obtaining required approvals of regulatory
authorities. In addition there are risks and uncertainties associated with oil
and gas operations. Readers should also carefully consider the matters
discussed under the heading "Risk Factors" in the Company's Annual Information
Undue reliance should not be placed on these forward-looking statements,
as there can be no assurance that the plans, intentions or expectations upon
which they are based will occur. Sterling's actual results, performance or
achievements could differ materially from those expressed in, or implied by,
these forward-looking statements. These statements speak only as of the date
of the press release. Sterling does not intend and does not assume any
obligation to update these forward-looking statements except as required by
Financial outlook information contained in this press release about
prospective results of operations, financial position or cash flows is based
on assumptions about future events, including economic conditions and proposed
courses of action, based on management's assessment of the relevant
information currently available. Readers are cautioned that such financial
outlook information contained in this press release should not be used for
purpose other than for which it is disclosed herein.
For further information:
For further information: visit www.sterling-resources.com or contact:
George Kesteven, Manager, Corporate and Investor Relations, Phone: (403)
215-9265, Fax: (403) 215-9279, firstname.lastname@example.org; Stewart G.
Gibson, Chief Executive Officer, Phone: 44-133082-6717, Mobile: