Calgary, Alberta – Pine Cliff Energy Ltd. (TSX: PNE) (“Pine Cliff“, or the “Company“) is pleased to provide an update on its Pekisko oil development program which continues to demonstrate encouraging results.
Pekisko Oil Development Program Update
Following up on the drilling of its initial horizontal oil well (“13-33“) in the fourth quarter of 2018, Pine Cliff drilled two gross (2.0 net) Pekisko horizontal oil wells during the fourth quarter of 2019.
The first of these two wells (“4-21“) came on production on December 19, 2019, with IP60 rates averaging 287 Boe/d (146 Bbl/d oil, 28 Bbl natural gas liquids and 678 Mcf/d of natural gas). The second well (“5-14“), (formerly known as 1-15), was placed on production on January 18, 2020, with IP30 rates averaging 204 Boe/d (135 Bbl/d oil, 14 Bbl/d natural gas liquids and 330 Mcf/d of natural gas).
The 4-21 well flows without assistance, while the 5-14 well, which is equipped with an artificial lift, has seen its oil and natural gas production rates increase with time such that the most recent seven day average is 269 Boe/d (144 Bbl/d oil, 25 Bbl/d natural gas liquids and 598 Mcf/d of natural gas).
Pine Cliff currently estimates that there are approximately 30 gross (28 net) Pekisko oil well locations on the Company’s Central Alberta lands that would be economic to drill at today’s commodity pricing, of which 21 gross (19.0 net) are unbooked locations and nine gross (9.0 net) are booked locations in the Company’s Reserve Report prepared by McDaniel & Associates Consultants Ltd. at December 31, 2019.