/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
TORONTO, June 13, 2011 /CNW/ - Aurora Oil & Gas Limited ("Aurora") is pleased to provide the following update on operations and production at the Sugarloaf Area of Mutual Interest ("AMI") within the Sugarkane Gas & Condensate Field, Texas.
Aurora also participates as a Working Interest holder in a larger area made up of an additional ~ 51,300 acres within the Sugarkane Field adjacent to the Sugarloaf AMI. Aurora is the only listed participant in these areas and currently has two other rigs operating in that acreage. Aurora provides separate updates on those operations.
The following well has been on production for a period of 60 days and Aurora is pleased to provide the market with an update on produced volumes during that period:-
Working Total Gas Total Average Daily
Interest Production Condensate Equivalent Oil
(mmscf) Production Rate (boe/d)*
No. 1H - 60 day 15.78% 45.8 31,085 645
*The equivalent barrels per day production rate has been calculated on
a simple 6:1 ratio in compliance with Canadian securities laws under
National Instrument 51 - 101.
PMT No.1H (28.7% WI) - The PMT No.1H well commenced production on 10th May 2011, Aurora will provide a production update when this well has achieved 30 days of production.
Davenport No.1H (24.3% WI) - The fracture stimulation of the Davenport No.1H well is now complete, the isolation plugs will shortly be drilled out, production tubing run and then the well will be unloaded and flowed to sales.
Best Huth No.1H (28.7% WI) - The Best Huth No.1H well reached a Total Depth of 16,159ft on May 19th 2011. The fracture stimulation of this well is presently underway and once complete it will be unloaded and flowed to sales.
Best Fenner No.1H (15.8%) - The fracture stimulation of this well is presently underway, once complete it will be unloaded and flowed to sales.
Jordan No.1H (15.8% WI) - The fracture stimulation of this well is complete and it will shortly be unloaded to sales.
Gilley No.1H (10% WI) - Following the completion of a modified stimulation on this well attempts were made to unload the well, however frac sand production is presently bridging across the completion and limiting flow. Further operations may be carried out on this well but it is now holding leases by production.
ASX participants in the Sugarloaf AMI are:
Aurora (ASX:AUT and TSX:AEF) - 15.7%
AWE (ASX:AWE) - 10%
Eureka (ASX:EKA) - 6.25%
Aurora is an Australian and Toronto listed oil and gas company active exclusively in the over pressured liquids rich region of the Eagle Ford Shale in Texas, United States. The Company is engaged in the development and production of oil, condensate and natural gas in Karnes, Live Oak and Atascosa counties in South Texas. Aurora participates in over 74,800 highly contiguous gross acres in the heart of the trend, including over 15,760 net acres within the liquids rich zones of the Eagle Ford. Aurora is funded for and expects to participate in approximately 60 new development wells during 2011.
Technical information contained in this report in relation to the
Sugarkane field was compiled by Aurora from information provided by the
project operator and reviewed by I L Lusted, BSc (Hons), SPE, a Director
of Aurora who has had more than 15 years experience in the practice of
petroleum engineering. Mr. Lusted consents to the inclusion in this
report of the information in the form and context in which it appears.
The Company may present petroleum and natural gas production and reserve volumes in barrel of oil equivalent ("boe") amounts. For purposes of computing such units, a conversion rate of 6,000 cubic feet of natural gas to one barrel of oil equivalent (6:1) is used. The conversion ratio of 6:1 is based on an energy equivalency conversion method which is primarily applicable at the burner tip and does not represent value equivalence at the wellhead. Readers are cautioned that boe figures may be misleading, particularly if used in isolation.
Statements in this press release regarding which reflect management's expectations relating to, among other things, target dates, Aurora's expected drilling program and the ability to fund development are forward-looking statements, and can generally be identified by words such as "will", "expects", "intends", "believes", "estimates", "anticipates" or similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. These statements are not historical facts but instead represent management's expectations, estimates and projections regarding future events.
Although management believes the expectations reflected in such forward-looking statements are reasonable, forward-looking statements are based on the opinions, assumptions and estimates of management at the date the statements are made, and are 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. In addition, if any of the assumptions or estimates made by management prove to be incorrect, actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this document. Such assumptions include, but are not limited to, general economic, market and business conditions and corporate strategy. Accordingly, investors are cautioned not to place undue reliance on such statements.
All of the forward-looking information in this press release is expressly qualified by these cautionary statements. Forward-looking information contained herein is made as of the date of this document and Aurora disclaims any obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise, except as required by law.
SOURCE Aurora Oil
For further information: Level 20, 77 St Georges Terrace, Perth, Western Australia 6000, GPO Box 2530 Perth, Western Australia 6001, T +61 8 9440 2626, F +61 8 9440 2699, E firstname.lastname@example.org, W www.auroraoag.com.au