PEACE RIVER, ALBERTA–(Marketwired – July 30, 2014) – Strata Oil & Gas Inc. (“Strata” or the “Company”) (OTCQB:SOIGF) announced today that its technical team has provided recommendations to the Board of Directors pursuant to the Cold Production study initiated by the Company relating to the Cadotte West land holdings in the Peace River oil sands region of Alberta.
The study, which is ongoing, utilizes existing well data as well as seismic data from lines which have been shot on and around the Cadotte West leases. Initial interpretation of the geological structure at Cadotte West resulted in the identification of cold production targets which were then validated by seismic data. The Company’s technical team has subsequently identified multiple drilling locations in order to test the extent to which the Bluesky Formation at Cadotte West has the fluid properties which permit the use of primary production methods.
The Company began studying the characteristics of the Bluesky Formation at its Cadotte West holdings to identify pools and fields which may be analogues to the Reno field further to the south, operated by Baytex Energy using primary recovery cold production methods. Strata’s study found that the Bluesky Formation at Cadotte West increases up to 20m to 25m thick, which is the target thickness for potential drill sites, as at Reno. The study also found that, as at Reno, the lease block hosts two or three sand beds of 5m or more thickness each separated by shale units, with the lowest one being the cleanest, and that the shale beds are of thickness similar to those within the Reno field.
Now that Strata’s technical team has identified these drilling locations, the Board of Directors will be initiating an Oil Sands Exploration plan application to initiate a test program, and will shortly be releasing further information relating to this.
Although Strata Oil’s 887 million barrel (recoverable) Cadotte project is planned as a 56,000 barrel-per-day thermal project utilizing CSS (cyclic steam stimulation), the Company is also pursuing primary production from the Bluesky sands as an additional potential resource for development. The Peace River Oil Sands region is one of the most prolific areas in the world for primary (non-thermal) production of heavy oil from sands. Several developers in the region have successfully demonstrated Cold Production on their leases, including Murphy Oil, PennWest Exploration, Royal Dutch Shell and Baytex Energy.
About Strata Oil & Gas
Strata Oil & Gas is a US-publicly traded company focused on the exploration and development of heavy oil and bitumen. The Company currently holds a 100% interest in 52,480 acres of oil sands leases in the Peace River region of Alberta’s Carbonate Triangle. Strata’s Cadotte project has been independently evaluated, with a resource base of 3.44 billion barrels in-place of which 887 million are classified as recoverable. Strata’s Cadotte Central project of 56,000 barrels-per-day over 20 years is valued at NPV $1.3 billion. For more information, go to the Company’s website at http://www.strataoil.com/.
[expand title=”Advisories & Contact”]Strata Oil and Strata Oil & Gas are trademarks of Strata Oil & Gas Inc. This announcement contains forward-looking statements which involve risks and uncertainties that include, among others, limited operating history, risks related to petroleum exploration, limited access to operating capital, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. All statements made herein concerning the foregoing are qualified in their entirety by reference to the following Norwest Reports: Evaluation of Bitumen Resources Cadotte Leases (2013), Resource Reclassification (2010), Bitumen Hosted Carbonate Pilot Projects (2008), Preliminary Feasibility Study (2008), Evaluation of Bitumen Resources Cadotte Leases (2007), which have been filed with the SEC. More information is included in Strata’s filings with the Securities and Exchange Commission which may be accessed through the SEC’s web site at www.sec.gov.
Strata Oil & Gas Inc.
Investor Relations
1-877-237-5443 or 1-403-237-5443
info@strataoil.com
www.strataoil.com
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