CALGARY, ALBERTA–(Marketwired – Dec. 18, 2013) – Edge Resources Inc. (TSX VENTURE:EDE)(AIM:EDG) (“Edge” or the “Company”) is very pleased to announce that it has successfully drilled and cased four additional wells in Eye Hill, Saskatchewan, with all four wells expected to produce commercial levels of oil. Completion activities have already commenced and the wells are expected to be put on production test before Christmas.
After previously announcing the Company’s intent to drill a minimum of three wells (see December 4, 2013 announcement), the Company was pleased to have moved very quickly to have constructed the necessary roads and locations, achieved the necessary regulatory approvals and secured the rig for all four wells in a very short period of time.
Increasing production and associated cash flow was the primary objective of the drilling program, with three of the four wells being drilled, at most, 760 meters away from Eye Hill East’s producing well (was last reported on October 29, 2013 to be producing up to 151 bopd). One of those wells was not previously assigned any reserves on the Company’s March, 2013 Reserve Report and two of those three wells were only assigned probable reserves.
The fourth location was drilled 2,900 meters from the producing well and was not previously assigned any reserves on the Company’s March, 2013 Reserve Report.
The Company is very pleased with the logs from these four wells, two of which have demonstrated clear superiority to even the existing producer. Edge expects to see reserve additions and production contribution from all locations, which should lead to significant cash flow and asset value improvements.
All wells were drilled on or under budget, despite the drop in temperatures to more than -30 degrees C for most of the duration of the program.
Brad Nichol, President & CEO of Edge, commented, “I could not be more pleased with the log results from these wells. The complete re-evaluation of our field data carried out this summer appears to have paid off and Mother Nature even rewarded us with a couple of nice surprises. Equally impressive was the operational team’s ability to move quickly and execute the program flawlessly. I am excited about the prospect of getting these wells on line to increase our production as well as updating our reserve report in the spring. It is nice to have finally accomplished what we have been talking about doing for such a long time.” Nichol added, “We have already commenced the completion and equipping operations and we expect to get at least three of the wells producing before the end of the year. The fourth may have to wait until the New Year to start producing oil, as the rig is now racked on our location and probably won’t be moved off until after the Christmas break.”
For more information, visit the company website: www.edgeres.com.
About Edge Resources Inc.
Edge Resources is focused on developing its heavy oil properties within a balanced portfolio of oil and natural gas assets from properties in Alberta and Saskatchewan, Canada. Management has consistently focused on:
- Shallow, vertical, conventional programs with reduced capital, operational and geological risks
- Very high or 100% working interests and fully operated assets
- Pools and horizons with exceptionally high reserves in place
The management team’s very high drilling success rate is based on the safe, efficient deployment of capital and a proven ability to efficiently execute in shallow formations, which gives Edge Resources a sustainable, low-cost, competitive advantage.
This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company’s registered filings which are available at www.sedar.com.
This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.
Trading in the securities of Edge Resources Inc. should be considered highly speculative. 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 & CEO
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Edge Resources Inc.
+1 (778) 918-8384