Shelton Canada Corp. Provides Operational Update

Shelton Canada Corp. (TSX VENTURE:STO) and Ukraine's largest oil and gas
company, Ukrnafta, will drill their third development well as partners in the
Kashtan Petroleum Joint Venture. Located in the Lelyaki oil field, east-central
Ukraine, the well #304-A is expected to spud mid Q4, 2009. The new well has a
projected total depth of 1930 meters and will be drilled as a directional well
targeting light oil (42 degree gravity) further developing the P1and 2 and K-1
productive reservoirs. In addition, well interventions are underway on three
suspended wells (#45, #60 and #179) in order to bring them back on production. 


Drilling cost is expected to be 10 million Ukrainian Hryvnia which today is
approximately US$1.17 million (net $526,500) and the well is expected to take
approximately 100 days to drill and complete. The well is in close proximity to
pipeline infrastructure for rapid tie-in.


"This third well is a continuing part of the Kashtan Joint Venture's plan to
fully exploit the remaining oil reserves in the Lelyaki Oil field through
optimal placement of infill production wells. The three well interventions show
very good economics as the capital cost is much lower than new drilling. This
new activity is very positive for the company", said Zenon Potoczny, Shelton's
President and CEO. "Our strategic partnerships with leading Ukrainian oil and
gas companies like Ukrnafta are a key reason for our success in Ukraine and
further production additions are expected through 2010." 


In addition, Shelton has recently received a dividend payment from Kashtan
Petroleum of US$122,700 which will be used to cover corporate working capital
requirements.


Further activity is also underway on Shelton's projects in the Azov and Black
Sea areas.


Shelton has been advised by its partner JSC Chernomornaftogaz that it has now
received the final well and technical report's on the first well drilled on the
West Biryucha structure. Analysis of this information is underway and may lead
to the acquisition of an exploration license for the North Biryucha structure
within the framework of the existing JAA with JSC Chernomornaftogaz.


In the Black Sea, planning is underway for the collection of a 300 kilometer two
dimensional seismic program over the Archangelskoye structure which is
anticipated to be commenced in the second quarter of 2010.This program is being
designed to identify the structural geometry of the Archangelske feature and
will focus on the Lower Paleocene strata which produces in the offsetting
Shtormovoye Field. 


In other news, Mr. Zenon Potoczny, President, Shelton Canada Corp. (also
President of Canada Ukraine Chamber of Commerce) has been awarded the Order of
Merit, Class III, from the President of Ukraine Victor Yushchenko for his
contributions to Ukraine in the fields of trade and investment.


The technical and corporate due diligence required for the previously announced
Plan of Arrangement between Shelton and Petrosibir is progressing well with an
anticipated November 6, 2009 date for the Shelton shareholders meeting to vote
on the transaction.


About Shelton Canada Corp.

Shelton, a Canadian-based junior oil and gas company, is focused on exploring
and developing the resource-rich basins of Ukraine. The company has an
internationally experienced board of directors and a long history of successful
operations in Ukraine. These competitive advantages have helped Shelton to build
effective personal relationships, strategic regional partnerships, a large land
position and a portfolio of projects on and offshore. In July 2009 Shelton
announced that it had entered into a business combination agreement with
Petrosibir AB, a Swedish company which holds two oil exploration licenses in
Bashkiria, Russia, and is listed on the NGM stock exchange in Sweden.


Forward-Looking Information

Except for statements of historical fact relating to the company, this news
release contains certain "forward-looking information" within the meaning of
applicable securities law. Forward-looking information in this news release is
characterized by words such as "plan", "expect", "project", "intend", "believe",
"anticipate", "estimate", and other similar words, or statements that certain
events or conditions "may" "will" or "could" occur. There are uncertainties
inherent in forward-looking information, including factors beyond Shelton Canada
Corp.'s control, and no assurance can be given that such events will occur on
time or at all. Shelton Canada Corp. undertakes no obligation to update
forward-looking information if circumstances or management's estimates or
opinions should change, except as required by law. The reader is cautioned not
to place undue reliance on forward-looking statements. The risks and
uncertainties set forth above are not exhaustive. BOEs may be misleading,
particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 bbl is
based on an energy equivalency conversion method primarily applicable at the
burner tip and does not represent a value equivalency at the wellhead.
StonePoint Energy Inc. (TSXV:STO)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024