CALGARY, Aug. 14 /CNW/ - Sterling Resources Ltd. ("Sterling") (TSX-V:SLG)
is pleased to report that it has completed the open-hole logging of the
Doina-4 well after having reached a target depth of 1,250 metres approximately
17 days after the well was spudded. (Sterling 65-percent working interest
after farm out). Initial results have confirmed the northerly extension of the
gas bearing Doina Main Sand reservoir, some 1.6 kilometres north of the
previously drilled Doina wells. In addition, prospective gas bearing intervals
were noted both above and below the main reservoir body.
The Doina Main Sand reservoir was encountered some 3 metres higher than
anticipated, and had a significant gas show on drilling. Subsequent electric
wireline logging has confirmed a reservoir section similar to previous Doina
wells with excellent sand intermingled with more silty intervals. The top of
the Doina Main Sand section is at a 1,094 metres true vertical depth subsea
(tvdss) with the base of the gas bearing reservoir picked at 1,125 metres
tvdss, which is consistent with the gas water contact noted in the previous
Doina wells. This interval contains an estimated gross 12 metres of high
quality reservoir with porosities in excess of 30%, again similar to previous
wells. Given the equivalent reservoir was tested in the Doina-2 well at
17.5 million cubic feet per day, and calculations for the current well
indicate similar productivity potential, the well will now be suspended for
possible re-entry as part of any future development program.
"The favourable results from the well confirm the extension of the Doina
Main Sand reservoir trend northwards. This further enhances the potential of
the Doina field, with the important observation that the reservoir in the
Doina field has been shown to be laterally extensive. The overall impact of
the well results on total gas in place will be assessed in the coming weeks,"
commented Stephen Birrell, Sterling's Vice President, Romanian Operations.
"We are pleased that the second offshore well in Romania has been drilled
on schedule and we would like to thank the rig owners Grup Servicii Petroliere
S.A. (GSP) and our drilling management team North Sea Well Engineering Ltd.
(NORWELL) on behalf of the partnership. The rig will now move to drill the
Ana-2 well, which is follow-up to the successful Ana-1 well, to be
directionally drilled in order to assess the northern portion of Ana. Results
from the Ana-2 well are expected in early September," noted Stewart Gibson,
Chief Executive Officer of Sterling.
Sterling Resources is a Canadian-listed international oil and gas company
headquartered in Calgary, Alberta with assets located in the United Kingdom,
Romania, and France. The common 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.
This disclosure contains certain forward-looking statements that involve
substantial known and unknown risks and uncertainties, 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, therefore Sterling's actual results,
performance or achievement could differ materially from those expressed in, or
implied by, these forward-looking statements. 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. These statements include future production rates,
completion and production timetables and costs to complete wells, and
production facilities. These statements are based on 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.
For further information:
For further information: visit www.sterling-resources.com or contact:
George Kesteven, Manager, Investor Relations, Phone: (403) 215-9265, Fax:
(403) 215-9279, firstname.lastname@example.org; Ian Hornby-Smith, Chief
Financial Officer, Phone: (403) 215-9264, Fax: (403) 215-9279,
email@example.com; Stewart G. Gibson, Chief Executive Officer, Phone:
44-133082-6717, Mobile: 44-7768-042219, firstname.lastname@example.org