HOUSTON, TX, July 12, 2012 /CNW/ - Enhanced Oil Resources Inc. (TSX-V:
EOR) is pleased to provide the following update regarding the Company's
operations for July.
As previously reported, the Company's primary goals for 2012 are to add
production and reserves through infill drilling at the Milnesand oil
field, located in Roosevelt County, New Mexico, to evaluate the
Chaveroo oil field for potential infill drilling and to further the
planning and permitting of a 41 mile CO2 pipeline to connect Kinder Morgan's Cortez CO2 pipeline to our Milnesand and Chaveroo oil fields by September 2015.
At the Milnesand oil field, drilling of the MSU #522 infill lateral has
been completed and the rig is currently moving to the MSU #141 well to
commence drilling a 2,500 foot infill lateral there. The MSU #141 is
expected to spud within the next few days. The MSU #522 well was
drilled to a total drill depth of 7,250 ft. (4,570 ft. true vertical
depth) after initiating the lateral component of the well at a drill
depth of 4,880 ft. (4,632 ft. true vertical depth). The well was
drilled through the Upper P3, P2 and P1 reservoirs and encountered oil
shows, with fluorescence and cut, over an interval exceeding 1,100 ft.
The well has been cased over the interval from 4,300 ft. to 7,250 ft.
and will be acidized and stimulated over seven stages. The Company
estimates that acidizing and testing will occur within the next few
Oil production volumes for June averaged 360 bopd, a decrease of 15 bopd
from May. The reduction in production volumes for June is due to the
Crossroads 102 well remaining offline for the entire month after
remediation efforts failed to bring that well back to production. That
well continues to be worked over and is expected to return to
production in due course. As previously discussed, the Company began
fishing operations at the Crossroads 303 well to retrieve a submersible
pump that parted in the well in November. To date the Company has
washed over and milled up approximately 20 feet (ft.) of the
obstruction and is making progress towards retrieving the remaining
nine ft. of pump. The Company continues to work on the 303 well and is
confident that we will be successful in due course.
Mr. Barry Lasker reports "The drilling and evaluation of this first
lateral well in Milnesand is an important step for the Company. We are
extremely pleased with the drilling results to date and we look forward
to evaluating the performance of this well in the near future. We will
provide further updates as they become available."
About Enhanced Oil Resources Inc.
Enhanced Oil Resources Inc. is an oil and gas development company, with
a principal goal of increasing crude oil and natural gas production
through enhanced oil recovery ("EOR") and infill drilling projects it
is initiating in the Permian Basin on oil fields acquired by the
Company in 2007 and 2008 for that purpose.
Certain statements contained herein are "forward-looking statements" and
"forward-looking information" under applicable securities laws,
including statements regarding beliefs, plans, expectations or
intentions regarding the future relating to Enhanced Oil Resources
Inc.'s operations, business prospects, expansion plans and strategies.
Forward-looking information typically contains statements with words
such as "intends", "anticipate", "estimate", "expect", "potential",
"could", "plan" or similar words suggesting future outcomes. Readers
are cautioned not to place undue reliance on forward-looking statements
because it is possible that expectations, predictions, forecasts,
projections and other forms of forward-looking information will not be
achieved. Forward-looking statements are based on the opinion and
estimates of management at the date the statements are made, and are
based on a number of assumptions and subject to a variety of risks and
uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the
forward-looking statements. Although Enhanced Oil Resources believes
that the expectations reflected in such forward-looking statements are
reasonable, Enhanced Oil Resources can give no assurance that such
expectations will prove to be correct. Assumptions upon which such
forward-looking statements are based include that the Company will be
able to carry out its proposed activities for 2012, that there will be
accelerated development of our oil reserves, that production increases
from our oilfields will be added, that our infill drilling program or
specific wells will be completed as expected, that our workovers will
successfully re-establish production in wells that are currently not
producing or that we will complete the planning or permitting or
complete the construction of a connecting pipeline by 2015. Readers
should refer to Enhanced Oil Resources' current filings, which are
available at www.sedar.com, for a detailed discussion of these factors,
risks and uncertainties. The forward-looking statements or information
contained in this news release are made as of the date hereof and
Enhanced Oil Resources undertakes no obligation to update publicly or
revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, unless so
required by applicable laws or regulatory policies.
ON BEHALF OF THE BOARD OF DIRECTORS
Barry D Lasker, CEO
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS
THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
SOURCE Enhanced Oil Resources Inc.
For further information:
visit our Website at www.enhancedoilres.com. or please call Don Currie on 1-888-990-3551.