CALGARY, Nov. 30, 2016 /CNW/ - Montana Exploration
Corp. ("Montana Exploration" or the "Company") (TSXV:
MTZ) today announced that the Company has drilled and cased each of
the first three wells in the Company's current five well program
directed to both oil and natural gas targets. The fourth well
in the program was spudded on November
29, 2016. Drilling operations on the program are
forecasted to be completed by mid-December. The Company will
thereafter embark upon a program of completions and testing, the
results of which will be released to the public.
It has concluded the sale of some of its interests in the
Pine Mills field in Wood County, Texas, including its carried
working interest, and also simultaneously purchased and re-sold
some additional interests in the Pine
Mills field through its wholly-owned subsidiary, Gale Force
Texas Limited ("GF Texas"). The Company originally
acquired its interests in the Pine
Mills field as part of its acquisition of Gale Force
Petroleum in September, 2015. The Company was able to
purchase the additional interests immediately before re-selling
them by exercising a preferential right of purchase it owned under
the operating agreement governing the joint operations of its
working interests in the field.
The aggregate net consideration received by the Company for the
sold interests was US$615,734 (net of
its costs to purchase the interests prior to re-selling
them). Proceeds, net of liabilities in GF Texas, will be
applied to General and Administrative Expenses of the Company
associated with the current drilling program. Additionally,
the Company expects to finalize the sale of its remaining interests
in the field within the coming weeks.
"This divestiture is part of Montana Exploration's plan to focus
its available resources on the exploration and development of its
Shaunavon oil and Eagle gas plays
in the State of Montana," said
Charles V. Selby, Chairman and Chief
Executive Officer.
ABOUT MONTANA EXPLORATION CORP.
Montana Exploration Corp. is an oil and gas exploration and
production company focusing on the Shaunavon oil and Eagle gas opportunities
underlying its extensive land holdings and drilling rights in the
State of Montana. In the United States, the company operates
through its wholly-owned subsidiary, Montana Land & Exploration, Inc. The
Company's common shares are listed on the TSX Venture Exchange
under the trading symbol "MTZ". Additional information regarding
the company is available at www.SEDAR.com or at
www.MontanaExplorationCorp.com.
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 Montana Exploration Corp.