VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 4, 2013) – Lynden Energy Corp. (‘Lynden’ or the ‘Company’) (TSX VENTURE:LVL) provides an update on its Wolfberry Project, West Texas, where the Company continues to carry out a rapid oil and gas development program. Lynden now has 71 gross (22.64 net) wells tied-in and producing. The Company’s share of production, after royalties, from these wells has averaged approximately 1,244 barrels of oil equivalent over the last 14 days and 1,186 barrels of oil equivalent over the past 30 days. Production is predominantly oil (~70%).
Current production volumes have been enhanced by initial production from a new well recently drilled in Glasscock County which has gross production averaging 495 barrels of oil per day (173 net to Lynden) and 291 mcf of gas per day (102 net to Lynden) since production began 34 days ago. The well has averaged 652 barrels of oil per day (228 net to Lynden) and 435 mcf of gas per day (152 net to Lynden) over the last 10 days flowing without the aid of artificial lift.
The Company’s Wolfberry Project consists of leases covering approximately 18,658 gross (15,630 net) acres in which Lynden has working interests generally ranging from 30.625% to 43.75%, for a net acreage position to Lynden of approximately 6,482 acres. The Wolfberry Project leases are located in Martin, Midland, Glasscock and Howard counties. In addition to carrying out its ongoing vertical well program, the Company is actively monitoring the results of horizontal wells being drilled into several benches of the Wolfcamp Formation in close proximity to Lynden’s Wolfberry Project acreage by a number of operators including Pioneer Natural Resources, Diamondback Energy and Laredo Petroleum.
The Wolfberry play is a major low-permeability oil play in the Midland Basin, with targets generally located between 7,000 and 11,500 feet drilling depth. The primary objectives of the play are oil (and gas) production from the Spraberry and Wolfcamp formations, which are Permian in age and are informally grouped to form the ‘Wolfberry’ interval or zone. Over time, the play has evolved to include additional zones below the Wolfcamp. Typical Wolfberry wells involve completions, which can include 8 to 12 fracture stimulations, over a 2,500 to 3,000 foot gross interval. The Company has been active in its Wolfberry Project since 2009.
Lynden Energy Corp. is in the business of acquiring, exploring and developing petroleum and natural gas rights and properties. The Company has various working interests in the Wolfberry Project and Mitchell Ranch Project, located in the Permian Basin in West Texas, USA. The Mitchell Ranch Project is comprised of a single lease covering approximately 102,000 gross and net acres located in Coke, Mitchell, and Sterling counties, in which the Company has a 50% working interest in 67,000 acres and a 1.25% overriding royalty interest in the remaining 35,000 acres.
NI 51-101 requires that we make the following disclosure: we use oil equivalents (boe) to express quantities of natural gas and crude oil in a common unit. A conversion ratio of 6 mcf of natural gas to 1 barrel of oil is used. Boe may be misleading, particularly if used in isolation. The conversion ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
ON BEHALF OF THE BOARD OF DIRECTORS
LYNDEN ENERGY CORP.
“Colin Watt”, President and CEO
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