CALGARY, ALBERTA–(Marketwired – Nov. 20, 2013) – Kallisto Energy Corp. (TSX VENTURE:KEC) (“Kallisto” or the “Company”) is pleased to announce it has filed its Condensed Interim Consolidated Financial Statements for the nine months ended September 30, 2013 and the accompanying Management’s Discussion and Analysis. These documents are available for viewing under Kallisto’s profile at www.sedar.com.
At Crossfield, completion and evaluation operations on the 16-26-027-01W5 well commenced on September 12, 2013 and consisted of a series of 15 m3 acid squeeze treatments, swab testing and fluid and natural gas analysis, all undertaken over several weeks. During the completion procedures, the Company recovered 32° API crude oil and liquids-rich natural gas. A pressure test taken in conjunction with completion operations confirmed that the Elkton in the 16-26 well is in pressure communication with the Crossfield Gas Storage facility. Kallisto is continuing to evaluate the well and is examining further completion methods to improve oil productivity as the recoveries achieved to date are inconsistent with log and drill cuttings interpretation. Management will continue its efforts to recover the Elkton oil from this reservoir.
Kallisto has a diversified asset base with abundant near term drilling opportunities, including:
- Elkton light oil and Basal Quartz liquids-rich gas at Crossfield;
- Cardium light oil at Minnehik – Buck Lake;
- Shaunavon crude oil in southwest Saskatchewan; and
- Doe Creek light oil at Valhalla.
Kallisto is targeting to spend $6,000,000 – $8,000,000 on these drilling opportunities in 2014. To complete the drilling program, Kallisto will use internally generated cash flow but will also require additional sources of capital. Such additional capital may come through farm-out agreements, disposition of non-core infrastructure assets, additional equity financing or through corporate transactions. Management is in discussions with various parties on all these options and will finalize its 2014 drilling program and capital budget and report back to shareholders when additional capital sources have been secured.
Kallisto is a Calgary-based junior resource company engaged in the acquisition, exploration, development and production of oil and natural gas, primarily in Alberta.
Forward Looking Information
The reader is advised that some of the information contained herein may constitute forward looking statements within the meaning assigned by National Instrument 51-102 and other relevant securities legislation. It includes, but is not limited to, statements with respect to potential oil production from the 16-26 well, future drilling opportunities on Company lands, the Company’s 2014 drilling program and the potential sources of capital to complete the drilling program. Forward-looking information is frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “scheduled”, “potential”, or other similar words, or statements that certain events or conditions “may”, “should” or “could” occur. Forward-looking information is based on the Company’s expectations regarding its future growth, results of operations, production, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, plans for and results of drilling activity, environmental matters, business prospects and opportunities. Such forward-looking information reflects management’s current beliefs and assumptions and is based on information currently available to it. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by the Company at the time of preparation, may prove to be incorrect and readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. The Company does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.
Forward-looking information involves significant known and unknown risks and uncertainties. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking information including risks associated with the impact of general economic conditions, industry conditions, governmental regulation, volatility of commodity prices, currency fluctuations, imprecision of reserve and resource estimates, environmental risks, competition from other industry participants, the lack of availability of qualified personnel or management, stock market volatility and the Corporation’s ability to access sufficient capital from internal and external sources. Additional risks and uncertainties are described in the Company’s and Annual Information Form dated April 30, 2013 which is filed under the Company’s SEDAR profile at www.sedar.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.
President and Chief Executive Officer