CALGARY, Dec. 21, 2012 /CNW/ - Birch Lake Energy Inc. ("Birch Lake" or the "Corporation") (TSXV: BLK) is pleased to provide the following update on the first of
its previously announced two well drilling program on its Lochend
The initial well was drilled to its projected depth and completed with a
multi-stage slick-water frac of the horizontal section. Over a swabbing
period of 115 hours, the well recovered a total of 6,305 barrels of
fluid comprising 5821 barrels of frac fluid and 484 barrels of oil. The
final 12 hours of swabbing recovered 97 barrels of fluid with a final
oil cut of 70%. Gas rates during the testing were too small to measure
while approximately 6,841 barrels of frac fluid remain to be recovered
(approximately 50% of frac load). The well has been secured and shut in
for pressure build-up over Christmas, while drilling and casing of the
second well is underway with completion planned for early January 2013.
The Corporation is very pleased with the initial results of this first
well as it is more than 6 miles along trend from nearest Cardium
production. These results confirm the Cardium potential over the
majority of Birch Lake's lands and greatly de-risk further drilling.
The Corporation will provide further announcements as additional
information becomes available.
Forward Looking Statements
This press release contains certain statements which constitute
forward-looking statements or information ("forward-looking
statements"), including statements regarding Birch Lake's business, and
Birch Lake's drilling plans. Such forward-looking statements are
subject to numerous risks and uncertainties, some of which are beyond
Birch Lake's control, the impact of general economic conditions,
industry conditions, volatility of commodity prices, currency
fluctuations, imprecision of reserve estimates, environmental risks,
operational risks in exploration and development, competition from
other industry participants, the lack of availability of qualified
personnel or management, stock market volatility and the ability to
access sufficient capital from internal and external sources. Although
Birch Lake believes that the expectations in their respective
forward-looking statements are reasonable, they are based on factors
and assumptions concerning future events which may prove to be
inaccurate. Those factors and assumptions are based upon currently
available information. Such statements are subject to known and unknown
risks, uncertainties and other factors that could influence actual
results or events and cause actual results or events to differ
materially from those stated, anticipated or implied in the forward
looking information. As such, readers are cautioned not to place undue
reliance on the forward looking information, as no assurance can be
provided as to future results, levels of activity or achievements. The
forward-looking statements contained in this document are made as of
the date of this document and, except as required by applicable law,
Birch Lake does not undertake any obligation to publicly update or to
revise any of the included forward-looking statements, whether as a
result of new information, future events or otherwise. The
forward-looking statements contained in this document are expressly
qualified by this cautionary statement.
About Birch Lake Energy Inc.
Birch Lake is a junior oil and gas company engaged in the exploration
for and the acquisition, development and production of oil and natural
gas reserves in Western Canada. The Corporation's common shares are
listed to trade on the TSX Venture Exchange under the symbol "BLK".
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Birch Lake Capital Inc.
For further information:
William H. Petrie
President and Chief Executive Officer