CALGARY, April 22, 2013 /CNW/ - Petromanas Energy Inc. ("Petromanas", or the "Company") (TSXV: PMI) today announced that it has cased the Shpirag-2 well to the top of the main objective carbonate reservoir at a depth of 5,164 metres. The Company set casing from the previous casing depth of approximately 4,750 metres to put the lower zone of unstable flysch shale behind pipe. The well is currently drilling ahead in the upper carbonate zone at a depth of approximately 5,200 metres.
"Successfully casing to this point means we can turn our attention to the carbonate target zone, without having to worry about instability higher in the hole," said Mr. Glenn McNamara, CEO of Petromanas. "We and our partner remain committed to drilling the target carbonate zone to a sufficient depth so we can run logs and gather sufficient information to assess the potential of this prospect."
Total costs to drill the well to this point are approximately US$60 million or US$17 million net to Petromanas. Management estimates the total costs to drill the well to the target depth of 5,800 metres at approximately $67 million gross. The logistics planning and sourcing for the Shpirag-2 completion / testing program is in the final stages and will be mobilized once the well reaches total depth.
Petromanas today also announced that the 2013 seismic program on Blocks 2-3 is underway and that its contractor, Geotec SpA of Italy, has initiated survey work and the drilling of shot holes. Recording commenced on the 15th of April 2013. Under the terms of the Company's Farm-Out Agreement with Royal Dutch Shell, the Company will be carried on the first $20 million expended on the Blocks 2-3 seismic program, including the test line which was shot in 2012 and which is currently being processed. Any costs in excess of that amount will be shared equally by both parties.
About Petromanas Energy Inc.
Petromanas Energy Inc. is an international oil and gas company focused on the exploration and development of its assets in Albania. Petromanas, through its wholly-owned subsidiary, holds three Production Sharing Contracts ("PSCs") with the Albanian government. Under the terms of the PSCs, Petromanas has a 100% working interest in Blocks A, B, D, and E and a 50% working interest in Blocks 2 and 3 that comprise more than 1.4 million gross acres across Albania's Berati thrust belt. Petromanas also holds exploration assets in France and Australia. For further information please contact:
These press releases contains forward-looking information within the meaning of applicable securities laws and are based on the expectations, estimates and projections of management of Petromanas as of the date of this news release unless otherwise stated. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information. More particularly and without limitation, this press release contains forward-looking information concerning the future performance of the Company, including but not limited to the drilling, casing and testing of the Shpirag-2 well and the Company's current exploration activities, including the 2013 seismic program on Blocks 2-3. In respect of the forward-looking information concerning the future performance of the Company, Petromanas has provided such in reliance on certain assumptions that it believes are reasonable at this time, including assumptions as to the timing and drilling of wells and the Company's ability to meet its operational commitments, the ability of Petromanas to receive, in a timely manner, the necessary regulatory and governmental operational approvals; and expectations and assumptions concerning, among other things: commodity prices and interest and foreign exchange rates; planned synergies, capital efficiencies and cost-savings; applicable tax laws; the sufficiency of budgeted capital expenditures in carrying out planned activities; and the availability and cost of labour and services. Accordingly, readers should not place undue reliance on the forward-looking information contained in this press release.
Since forward-looking information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to the risks associated with the industries in which Petromanas operates in general such as operational and exploration risks; delays or changes in plans with respect to growth projects or capital expenditures; delays in obtaining governmental approvals, permits or financing or political risks in the completion of development or construction activities; access to drilling rigs, seismic equipment and operational personnel; costs and expenses; political risks; title disputes; health, safety and environmental risks; commodity price, interest rate and exchange rate fluctuations; environmental risks; competition; ability to access sufficient capital from internal and external sources; and changes in legislation, including but not limited to tax laws and environmental regulations. There is a specific risk that the Company may be unable to complete the drilling, completion and testing of the Shpirag-2 well at costs estimated and in the manner described in this press release or at all. If the Company is unable to drill, complete and test the Shpirag-2 well at costs estimated and in the manner described in this press release or at all there could be a material adverse impact on the Company and on the value of the Company's securities. Consider adding: There is also a specific risk that the Company may be unable to complete the 2013 seismic program on Blocks 2-3 at costs estimated and in the manner described in this press release or at all.
Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on other factors that could affect the operations or financial results of Petromanas are included in reports on file with applicable securities regulatory authorities, including but not limited to; Petromanas' Annual Information Form for the year ended December 31, 2011 which may be accessed on Petromanas' SEDAR profile at www.sedar.com.
The forward-looking information contained in this press release is made as of the date hereof and Petromanas undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Neither 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: Petromanas Energy Inc.
For further information:
Glenn McNamara, CEO
Hamid Mozayani, COO
Bill Cummins, CFO
Petromanas Energy Inc.
Suite 1720, 734 - 7th Avenue SW
Canada T2P 3P8
Tel: +1 403 457 4400
Fax: +1 403 457 4480
The Equicom Group
300 - 5th Avenue SW, 10th Floor
Canada T2P 3C4
Tel: +1 403 218 2835
Fax: +1 403 218 2830