Suroco Announces the Cohembi-7 Appraisal Well on Production at 1,322 Barrels of Oil Per Day and Commences Drilling Cohembi-4 ...

(NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA)

Suroco Energy Inc. (TSX VENTURE:SRN) ("Suroco" or the "Corporation") is pleased
to announce that the Cohembi-7 appraisal well has been successfully placed on
production and drilling has commenced at the Cohembi-4 multi-well pad.


Mr. Alastair Hill, the Corporation's President and Chief Executive Officer
commented, "The excellent initial production from the Cohembi-7 well, which has
produced up to 1,485 barrels of oil per day (216 barrels of oil per day net to
the Corporation after royalty) as the pump speed has been increased to its
normal operating capacity, attest to the very good reservoir quality encountered
in this area of the field. The next two or possibly three wells will be drilled
in the northwest area of the field from the Cohembi-4 pad, with one of these
wells targeting a significant stepout to evaluate the potential for the field to
extend beyond the area currently mapped on the 3D seismic".


Cohembi-7 Well 

The Cohembi-7 well commenced production into the Cohembi oil facility with a
variable speed electric submersible pump on May 26, 2012. Over 7 days, the
average production rate was 1,322 barrels of oil per day (192 barrels of oil per
day net to the Corporation after royalty) at relatively low pump speeds with no
water production. The well is now tied in to production lines, but temporarily
shut in for a pressure build up to evaluate reservoir properties in this area of
the field. Depending on the results of the flow and build-up tests, the pump
speed may be increased further.


Cohembi-4 Multi-Well Pad 

The Cohembi-4 multi-well pad can accommodate up to three drilling locations, of
which Cohembi-4 is the first well. Drilling of this well commenced on June 13,
2012 and is expected to take approximately twenty days to drill and ten days to
complete and tie-in. The wells being drilled from this pad will delineate the
pool in the northwesterly direction, maintaining an inter-well spacing of
approximately 1,000 metres from existing wells. The Cohembi-11 well drilled from
this pad will test an extension of the pool beyond the current mapped area of
the 3D data, potentially extending the pool 1.0 kilometre northwest from the
edge of the 3D area and 2.4 kilometres from the closest well control, which is
Cohembi-3.


Future Appraisal Drilling Plans 

Following the drilling from the Cohembi-4 pad, the rig will drill two wells from
the existing Cohembi-2 pad. These wells will target the south-central area of
the field, offsetting the Cohembi-2 well, which continues to be one of the best
producers in the entire field. Later in the year, the rig will move further to
the south to appraise the southern area of the field from the Cohembi-6 well
pad. With the continuing drilling program, operational and cost efficiencies are
being recognized and it is anticipated that up to seven wells may be drilled
this year, instead of the six originally planned. An additional 5,000 barrel
storage tank has also been installed at the Cohembi facility to handle
incremental production from the new wells. 


Further details explaining the Corporation's activities in the Cohembi field and
its 2012 drilling program are contained in a presentation on the Corporation's
website at www.suroco.com. 


The Corporation is a Calgary-based junior oil and gas company, which explores
for, develops, produces and sells crude oil, natural gas liquids and natural gas
in Colombia. The Corporation's common shares trade on the TSX Venture Exchange
under the symbol SRN.


Forward-Looking Statements

This press release contains forward-looking statements relating to the
operational and exploration activities for Suroco, the evaluation of certain
prospects in which the Corporation holds an interest, drilling locations,
estimated number of drilling locations, expected capital program (including its
allocation), production growth, and other statements that are not historical
facts. Readers are cautioned not to place undue reliance on forward-looking
statements, as there can be no assurance that the plans, intentions or
expectations upon which they are based will occur. By their nature,
forward-looking statements involve numerous assumptions, known and unknown risks
and uncertainties, both general and specific, that contribute to the possibility
that the predictions, estimates, forecasts, projections and other
forward-looking statements will not occur, which may cause actual performance
and results in future periods to differ materially from any estimates or
projections of future performance or results expressed or implied by such
forward-looking statements. These assumptions, risks and uncertainties include,
among other things, the state of the economy in general and capital markets in
particular; fluctuations in oil prices; the results of exploration and
development drilling, recompletions and related activities; changes in
environmental and other regulations; risks associated with oil and gas
operations and future exploration activities; the need to obtain required
approvals from regulatory authorities; product supply and demand; market
competition; political and economic conditions in the country in which the
Corporation operates; and other factors, many of which are beyond the control of
the Corporation. You can find an additional discussion of those assumptions,
risks and uncertainties in Suroco's Canadian securities filings. 


Readers should also note that even if the 2012 drilling program as proposed by
Suroco is successful, there are many factors that could result in production
levels being less than anticipated or targeted, including without limitation,
greater than anticipated declines in existing production due to poor reservoir
performance, mechanical failures or inability to access production facilities,
among other factors.


The forward-looking statements contained in this press release are made as of
the date of this press release. Except as required by law, Suroco disclaims any
intention and assumes no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise.
Additionally, Suroco undertakes no obligation to comment on the expectations of,
or statements made by, third parties in respect of the matters discussed above.
(TSXV:SRN)
Graphique Historique de l'Action
De Juin 2024 à Juil 2024