VANCOUVER, British Columbia–(BUSINESS WIRE)–Dejour Energy Inc. (NYSE MKT:DEJ / TSX:DEJ) (“Dejour” or the “Company”), an independent oil and natural gas exploration and production company operating in North America’s Piceance Basin and Peace River Arch regions, today announced that 2014 development operations are underway on its previously reported Kokopelli joint venture (the “Kokopelli Project”). The drill program for 2014 is focused on developing additional production from the liquids-rich Williams Fork formation on the southern leasehold (where drill permits have already been acquired) and testing the deeper Mancos, if final permitting can be achieved in time.
Pad 21B is currently being built and equipped for the drilling of at least 8 wells, following the drilling and completion of a water disposal well that will service all remaining wells to be drilled in this area of the southern lease. It is anticipated that upon completion and fracture of these wells, by the end of November 2014, each will be tied into the existing infrastructure that services the Company’s current production base. Dejour is fully carried for its 25% working interest through the first US$16 million in expenditures for the Kokopelli Project.
With the transfer of operatorship of the Kokopelli Project to the new U.S. partner, Dejour has effectively reduced the corporate overhead associated with the Company’s Denver office by 70% going forward.
“We are very excited about the highly skilled drill team and the 2014 drill program proposed for the Kokopelli Project. The drill bit should be turning by the end of August, with all preparations for production into sale lines in place to capitalize on the peak commodity pricing season. The opportunity to successfully test the high pressure, rich Niobrara strata of the Mancos during this program would be a watershed event for all partners given its potential to create an order of magnitude reserve, production and value increase for the entire property. Dejour is now better positioned to realize on its vision of Kokopelli being a significant liquids-rich multi zonal producer than at any previous time of its involvement,” asserts Robert L. Hodgkinson, CEO.
About Dejour Energy Inc.
Dejour Energy Inc. is an independent oil and natural gas exploration and production company operating projects in North America’s Piceance Basin (45,425 net acres) and Peace River Arch regions (17,000 net acres). Dejour maintains offices in Denver, USA, Calgary and Vancouver, Canada. The company is publicly traded on the New York Stock Exchange (NYSE MKT:DEJ) and Toronto Stock Exchange (DEJ.TO).
Forward-looking information in this news release includes, but is not limited to, statements about the nature and content of the Kokopelli Project and the estimated timing and amounts of future expenditures of the 2014 development program.
Additional information on these and other factors, which could affect Dejour’s operations or financial results, are included in Dejour’s reports on file with Canadian and United States securities regulatory authorities. We assume no obligation to update forward-looking statements should circumstances or management’s estimates or opinions change unless otherwise required under securities law.
The TSX does not accept responsibility for the adequacy or accuracy of this news release.
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