Verenex confirms oil and gas discovery in Libya at G1-47/02 well



    CALGARY, Oct. 13 /CNW/ - Verenex Energy Inc. ("Verenex" or the "Company")
(TSX - VNX) is pleased to confirm an oil and gas discovery at G1-47/02 in
Area 47 in the Ghadames Basin in Libya. This discovery is the Company's
seventh in Block 2 in the southern part of Area 47 and is the ninth announced
oil and gas discovery in Area 47 since drilling began in September 2006. The
Libyan National Oil Corporation ("NOC") has also announced this discovery.
    The G1-47/02 new field wildcat ("NFW") exploration well (well No. 14) is
located approximately 6.5 kilometres northeast of the Company's nearest oil
and gas discovery at D1-47/02 in Block 2 and was drilled and cased to a depth
of 10,645 feet in the Memouniat Formation. The Company carried out extended
flow tests on the G1 well from a total of 12 feet of perforations in a
sandstone interval in the Lower Acacus Formation. The test yielded a maximum
measured flow rate, as restricted by test equipment capability, of
approximately 4,167 bopd (gross) of light sweet crude oil and 2.0 mmcf/day
(gross) of natural gas through a 64/64ths inch choke size. Measured API
gravity of the crude oil was 41 degrees.
    At the request of the NOC, and consistent with earlier test protocols,
the flow rate was also measured through the smaller more restrictive choke
size of 32/64ths inch which yielded oil and gas flow rates of 1,739 bopd and
1.0 mmcf/day, respectively, as shown below.

    
    G1-47/02 Flow Test Rates at 32/64ths Inch Choke Size

    -------------------------------------------------------------------------
    Depth    Form-    Perf-   Restricted   Oil     Gas     Flowing     Oil
     at      ation   orated     Choke      Rate    Rate    Wellhead  Gravity
    Top of          Interval    Size      (bopd)  (mmcf/   Pressure (degrees
    Perfor-          (feet)    (inches)            day)     (psia)     API)
    ations
    (feet)

    -------------------------------------------------------------------------
    8,312    Lower     12     32/64ths    1,739    1.0        676       41
             Acacus
    -------------------------------------------------------------------------
    

    To-date, nine NFW exploration wells and two appraisal wells have tested
at a maximum aggregate rate of approximately 98,000 bopd and have been
suspended as potential future oil and gas production wells.
    The maximum measured flow test rate described above is not necessarily
indicative of the ultimate production rate and may be lower in any commercial
development, which will be determined from reservoir engineering studies that
constitute part of the appraisal and development planning activities currently
underway.

    Verenex is a Canada-based, international oil and gas exploration and
production company with a world-class exploration portfolio in the Ghadames
Basin in Libya. Verenex is the operator and holds a 50% working interest in
Area 47 in Libya. Under the EPSA terms for Area 47, Verenex would receive an
initial production allocation (free of all taxes and royalties) of 6.85% in
any commercial development scheme. A more complete description of the Area 47
contract terms is included in the Company's various filings on www.sedar.com.

    This press release contains forward-looking statements, including but not
limited to operational information and future exploration and development
plans. These statements are based on current expectations and are subject to a
number of risks and uncertainties that could materially affect the results.
These risks include, but are not limited to: financing risks; geological
risks; drilling risks; risks associated with obtaining regulatory approvals;
oil and gas industry operational risks in development, exploration and
production; the uncertainty of resource estimates; delays or changes in plans
with respect to exploration or development projects or capital expenditures;
the ability to attract and retain key personnel; the risk of commodity price
and foreign exchange rate fluctuations; the uncertainty associated with
negotiating with governments; and the risk associated with international
activity. Due to the risks, uncertainties and assumptions inherent in
forward-looking statements, prospective investors in the company's securities
should not place undue reliance on these forward-looking statements.





For further information:

For further information: Jim McFarland, President & CEO, Verenex Energy
Inc., Telephone: (403) 536-8009; or Ken Hillier, Chief Financial Officer,
Verenex Energy Inc., Telephone: (403) 536-8005, www.verenexenergy.com

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VERENEX ENERGY INC.

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