CALGARY, Jan. 26 /CNW/ - Terrex Energy Inc. ("Terrex" or the "Company") (TSX-V - TER) announces ERCB approval of
the Company's enhanced oil recovery "EOR" project at Strathmore.
On January 21, 2011 the Alberta Energy Resources Conservation Board
(ERCB), approved Terrex's plans for an Enhanced Oil Recovery (EOR)
project in southern Alberta. The project consists of a chemical
alkaline surfactant polymer (ASP) flood of the Lower Mannville B Pool
of the Company's 100% working interest property in the Strathmore area
of southern Alberta. Field rehabilitation activities, including the
re-activation of well bores and pipelines, injector well conversions,
and repairs and modifications to existing facilities necessary for the
EOR project are mostly complete and additional required equipment has
been ordered with delivery expected by mid 2011. Chemical injection is
planned to commence in the fall.
The Strathmore pool has produced nearly 5 million barrels of light oil
to date and the ASP flood is expected to result in significant
additional recoveries of oil. Based upon worldwide analogues, chemical
floods increase recoveries, on average, by approximately 14-15% of
total oil initially in place.
Terrex Energy Inc. is a Calgary-based junior oil company that
specializes in the application of proven Enhanced Oil Recovery (EOR)
methods to improve oil production from mature pools. Terrex targets
underexploited and undercapitalized light-to-medium oil reservoirs in
Western Canada. Terrex shares are listed on the TSX Venture Exchange
under the symbol 'TER' and on the Frankfurt Exchange under the symbol
Neither the TSV Venture Exchange nor its Regulation Service Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain forward-looking statements and
forward-looking information (collectively referred to herein as
"forward-looking statements") within the meaning of Canadian securities
laws. All statements other than statements of historical fact are
forward-looking statements. In particular, this press release contains
forward-looking statements pertaining to the amount of oil that may be
recoverable from the Strathmore property, the timing of the
commencement of the chemical injection and anticipated production in
respect to the Strathmore property. Undue reliance should not be placed
on forward-looking statements, which are inherently uncertain, are
based on estimates and assumptions, and are subject to known and
unknown risks and uncertainties (both general and specific) that
contribute to the possibility that the future events or circumstances
contemplated by the forward-looking statements will not occur.
There can be no assurance that the plans, intentions or expectations
upon which forward looking statements are based will in fact be
realized. Actual results will differ, and the difference may be
material and adverse to Terrex and its shareholders. Forward-looking
statements are based on Terrex's current beliefs as well as assumptions
made by, and information currently available to, Terrex concerning
business prospects, strategies, and market conditions. Although
management considers these assumptions to be reasonable based on
information currently available to it, they may prove to be incorrect.
By their very nature, forward-looking statements involve inherent risks
and uncertainties (both general and specific) and risks that
forward-looking statements will not be achieved. The forward-looking
statements contained in this news release are made as of the date
hereof and Terrex does not undertake any obligation to update publicly
or to revise any of the included forward-looking statements, except as
required by applicable law. The forward-looking statements contained
herein are expressly qualified by this cautionary statement.
SOURCE Terrex Energy Inc
For further information:
Please contact Kim Davies, President & CEO, or Norm Knecht, VP Finance & CFO, at (403) 264-4430, or visit Terrex's website at terrexenergy.ca.