CALGARY, ALBERTA–(Marketwired – Nov. 2, 2016) – Manitok Energy Inc. (the “Corporation” or “Manitok“) (TSX VENTURE:MEI) is pleased to announce that it has initial production test results from its first horizontal well of the fourth quarter drilling program. The 14-32-022-25W4 horizontal well (100% working interest) in Carseland, targeted the Lithic Glauconitic (“LG“) zone and was completed with a multi-stage fracture stimulation. After flowing for about three days, the well cleaned up enough to produce 270 bbls/d of light oil and 2.4 Mmcf/d of gas over the last 24 hour period with a water cut of about 47%. Using the historical performance of the offsetting wells, the 14-32 well is anticipated to clean up to under a 20% water cut. At that water cut, the offsetting wells initially produced approximately 300 bbls/d of light oil with 3.0 Mmcf/d of natural gas. In order to prevent the loss of the frac sand and increase the potential reserves recovered from the well over the longer term, it is anticipated that the well will be choked back by 15% to 20% when placed on production later in November 2016.
Manitok also discovered a second prospective Glauconitic zone (a different channel than the targeted zone), above the targeted LG zone. Manitok will test the newly discovered zone during the completion operation in order to determine its potential for future development. Manitok has already identified two other prospective Glauconitic channels in Carseland using seismic and well control. With the new discovery, there are now four Glauconitic channels, each at different depths, that are prospective. Manitok has only drilled into the one LG channel to date.
The initial three wells in the fourth quarter drilling program have a 100% working interest and have been drilled using the monobore plan. The second well in Carseland is currently being completed and the third well in Wayne is anticipated to be completed shortly. The total cost of drilling the three wells was about $2.65 million, however, the last two wells were drilled for under $0.75 million each. With a larger drilling program, Manitok believes it can achieve drilling costs closer to $0.7 million per well given current market conditions. The completion costs will be provided once all three wells have been completed.
Manitok is a public oil and gas exploration and development company focused on conventional Mannville and Cardium oil and gas reservoirs in both southeast, and west central Alberta. The Corporation will utilize its experience to develop the untapped conventional oil and liquids-rich natural gas pools in its core areas of the Western Canadian Sedimentary Basin.
View our website at www.manitokenergy.com