CALGARY, ALBERTA–(Marketwired – Nov. 6, 2014) – Tuscany Energy Ltd. (TSX VENTURE:TUS) is pleased to announce that corporate net production for the month of October 2014 averaged approximately 940 BOEd (84% oil), the highest in the Company’s history. This increase in production was due to the drilling and tie-ins of new Dina horizontal wells at Macklin and Evesham Saskatchewan and increased production from existing wells due to enhanced water disposal capability added in September 2014.
The additional disposal capacity was added to address production constraints that led to the Company restricting production rates on certain wells early in Q3 2014. Restricted production rates contributed to corporate production averaging approximately 660 BOEd for Q3 2014. The addition of a new Macklin vertical disposal well and the deepening of an existing Evesham disposal well alleviated these constraints, allowing production to increase to average approximately 750 BOEd for September 2014 and 940 BOEd for October 2014. In addition the Company estimates that the tie-in of wells currently shut-in would add 50 BOEd of oil production. The new Macklin disposal well and the deepening of the Evesham disposal well have increased the Company’s water disposal capacity by 16,000 bbls per day.
The Company next plans to drill two horizontal wells in mid-November at its North Macklin property, offsetting a stratigraphic test for the Dina oil zone drilled in September 2014. The test well encountered 9 vertical metres of 33% porous sand in the Dina, with log characteristics identical to presently producing wells in the field. Based on this and subsequent geotechnical work, the Company identified 14 new horizontal drill locations on this previously untested portion of its 100% owned Macklin property and will commence drilling the first two horizontal locations mid-November 2014, oriented to the NW and SE of the vertical well.
An updated corporate presentation dated November 2014, including maps and geotechnical data outlining the 14 new horizontal North Macklin drilling locations, can be downloaded from Tuscany’s website (www.tuscanyenergy.com). Management will be using this presentation during upcoming meetings with retail and institutional investors in Vancouver and Calgary.
[expand title=”Advisories & Contact”]ADVISORY: This news release contains certain forward-looking information and statements within the meaning of applicable securities laws. The use of any of the words “potential”, “expect”, “anticipate”, “continue”, “estimate”, “may”, “will”, “project”, “should”, “could”, “believe”, “plans”, “intends” and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the foregoing, this news release contains forward-looking information and statements pertaining to Tuscany’s drilling plans, plans to connect wells, water disposal capabilities and additional production estimates. The forward-looking information and statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Such planned drilling and connection of wells involves known and unknown risks, uncertainties and other factors that may cause actual plans to differ materially from those anticipated.
Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
Where amounts are expressed on a barrel of oil equivalent (BOE) basis, natural gas volumes have been converted to barrels of oil on the basis of six thousand cubic feet (mcf) per barrel (bbl). BOE figures may be misleading, particularly if used in isolation. A BOE conversion of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6 mcf : 1 bbl, using a conversion on a 6 mcf : 1 bbl basis may be misleading as an indication of value. References to oil in this discussion include crude oil and natural gas liquids (NGLs).
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.
Tuscany Energy Ltd.
Robert W. Lamond
President & CEO
(403) 269-9889
(403) 269-9890 (FAX)Tuscany Energy Ltd.
Donald K. Clark
Vice President Operations
(403) 269-9889
(403) 269-9890 (FAX)
www.tuscanyenergy.com
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