Calgary, Alberta–(Newsfile Corp. – January 29, 2024) – Resolute Resources Ltd. (TSXV: RRL) (“Resolute” or the “Company“) would like to provide an update with respect to its oil project in Northwest Alberta and strategic direction going forward. Resolute’s Grimshaw channel well demonstrated a new heavy oil pool containing 6o API. Oil samples collected while drilling exhibited light-medium brown oil staining, which visually appeared different to the black 6o API oil collected during the workover of the channel well. The Company is currently waiting on oil fingerprint analysis comparing oil samples recovered while drilling versus oil samples recovered during the workover. The completion of this additional data analysis is expected to provide an indication as to whether alternative conventional production options exist to exploit the reservoir discovered at Grimshaw.
At this time the Company is shifting focus to its Flood property where the Company believes the potential for higher API oil remains. The Company’s Flood acreage includes an abandoned well with a fluid test within the Gething that produced ~35 API oil. The Flood lands contain over 9,000 acres of leased land and between 45 and 51 locations between a channel and a shoreline sand based on Resolute’s resource report from 2023. Management of the Company believes the next steps to unlocking value at the Flood lands include drilling a well to re-confirm fluid quality and testing the production potential of the channel and shoreline sands. Any new well completion or exploration activities will need to be funded through additional capital. To support the efforts of the Company to unlock the potential value that exists at Flood, the Company has initiated comprehensive strategic alternatives review to maximize shareholder value and position the Company for sustained growth (the “Strategic Review“). This includes but is not limited to possible mergers and acquisitions, joint ventures, and raising of additional capital.
There is no assurance that the Strategic Review will result in any specific transaction or other strategic alternative, and the Company does not intend to disclose further developments unless and until the board of directors of the Company has approved a specific course of action.
Investors and other stakeholders are encouraged to monitor the Company’s website and corporate/financial disclosures for updates related to the Strategic Review process.
About Resolute Resources Ltd.
Resolute is an energy corporation trading on the TSXV under the symbol RRL. Resolute has projects in Northwest Alberta, where it is exploring shallow cretaceous sandstone reservoirs that can be exploited with Multi-Lateral Open Hole wells. Resolute has accumulated just under 35,000 acres in its GFD light oil project in Northwest Alberta. Resolute is pursuing projects that are high in environmental social and governance metrics, that result in lower emission oil and low water use due to no hydraulic fracturing, but that provide high economic returns.
Cautionary Statement Concerning Forward-Looking Statements
This press release contains certain information that may constitute “forward-looking information” under applicable Canadian securities legislation. Forward looking information includes, but is not limited to, information relating to: the Company’s drilling program and results, including whether any economic production may be obtained from any of the Company’s wells; whether alternative conventional production options exist to exploit the reservoir discovered at Grimshaw; whether higher API oil remains at the Flood property and whether value may be unlocked by conducting fluid quality and production potential testing; whether the Company has access to additional capital; and the potential outcomes of the Strategic Review. Forward-looking information is necessarily based upon a number of assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Factors that could affect the outcome include, among others: failure to obtain regulatory approvals, general business, economic, competitive, political and social uncertainties, securities market uncertainty and unpredictability and risks of the oil and gas industry. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
For further information, please contact:
CEO & Director
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