Vancouver, British Columbia – Hemisphere Energy Corporation (TSXV: HME) (OTCQX: HMENF) (“Hemisphere” or the “Company”) is pleased to announce that it has commenced a three-well drilling program in the Atlee Buffalo G pool, in southeast Alberta. All three wells are being drilled from the same pad and are expected to be placed on production by mid-October.
Hemisphere’s last drilling program was in 2019 when 11 wells were drilled into the pool, of which four were subsequently converted to injectors. Average corporate production since 2019 has been approximately flat at 1,750 boe/d due to strong waterflood performance in the Atlee Buffalo oil pools.
Hemisphere’s Atlee G pool polymer flood has now been underway for just over two months. All ten injection wells in the pool are now converted over to polymer and the Company continues to ramp up polymer rates and viscosities to optimize the flood. Response from the flood is expected by early 2022.
Over the past two years, Hemisphere has been heavily focused on debt reduction and reserve recognition through its stable enhanced oil recovery projects. This resulted in the Company securing a reserve based loan with a Canadian bank, thereby significantly reducing its finance interest costs. Moving forward in this pricing environment, Hemisphere is excited to return to more active development of its high netback, low cost, long life assets.