Woot, oil everywhere - test results due in 7!!!
Pan Orient Energy Corp.: Thailand Drilling Update
CALGARY, ALBERTA--(Marketwire - April 21, 2008) - Pan Orient Energy Corp. (TSX VENTURE
OE) -
NOT FOR DISSEMINATION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
POE-9A Appraisal Well (60% WI & Operator)
POE-9A vertical appraisal well, located approximately 130 meters south of the NSE discovery well POE-9, was logged after reaching an intermediate casing depth of 1,134 meters. Very severe lost circulation within the main volcanic interval was encountered at 849 and 854 meters with loss rates of 264-280 bbls per hour and 200+ bbls per hour through the remainder of the 65 meter thick interval. A very intensely fractured zone, or cavern, was encountered between 871-881 meters with penetration rates greater than 200 meters per hour.
After setting intermediate casing, drilling continued to a total depth of 1,171 meters. Drilling fluid losses of approximately 90 bbls per hour were encountered at 1,158 meters within a previously untested, new volcanic objective the top of which was penetrated at 1,143 meters. Oil shows and elevated mud gas readings, in combination with the losses noted above, resulted in the decision to terminate drilling and prepare to open hole test this new volcanic zone. Free oil was observed over the shale shakers at surface while circulating the well with the drill bit located near the top of the new volcanic zone. Testing of the deep volcanic objective is anticipated to be completed within 7 to 10 days.
L44H-D2 Appraisal Well (60% WI & Operator)
L44H-D2 deviated appraisal well is currently drilling ahead at a depth of 1,456 meters true vertical depth ("TVD") towards a total depth of approximately 1,800 meters TVD after logging and setting intermediate casing at 1,043 meters TVD, just below the base of an unexpectedly thick (180 meters) main volcanic zone. Very severe lost circulation was encountered in the main volcanic and FMI well bore image logs indicated extensive fracturing in the upper 120 meters of the 180 meter thick volcanic interval. Good oil shows and free oil at surface were observed while drilling this zone.
Two deeper, never before tested volcanic intervals have been encountered at 1,072 and 1,410 meters TVD with thicknesses of 20 and 28 meters respectively and exhibiting oil shows. Drilling is anticipated to encounter a number of additional volcanic targets between the current depth and the planned total depth of 1,800 meters that will be reached at a subsurface location approximately 640 meters northwest of the L44-H producing well. Drilling is anticipated to be completed in approximately 10 days.
NS3-D1 Side Track Appraisal Well (60% WI & Operator)
Upon completion of the POE-9A appraisal well, drilling will commence on the NS3-D1 high angle deviated/horizontal side track. NS3-D1 ST will deviate horizontally north of the original NS3-D1 well bore that penetrated the main volcanic reservoir at the down dip, southernmost extent of the NSE South fault compartment. As part of this operation, the original NS3-D1 well bore will be abandoned and replaced by this new, horizontal side track.
Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations currently located onshore Thailand and in Western Canada.
This news release contains forward-looking information. Forward-looking information is generally identifiable by the terminology used, such as "expect", "believe", "estimate", "should", "anticipate" and "potential" or other similar wording. Forward-looking information in this news release includes, but is not limited to, references to: well drilling programs and drilling plans, estimates of reserves and potentially recoverable resources, and information on future production and project start-ups. By their very nature, the forward-looking statements contained in this news release require Pan Orient and its management to make assumptions that may not materialize or that may not be accurate. The forward-looking information contained in this news release is subject to known and unknown risks and uncertainties and other factors, which could cause actual results, expectations, achievements or performance to differ materially, including without limitation: imprecision of reserve estimates and estimates of recoverable quantities of oil, changes in project schedules, operating and reservoir performance, the effects of weather and climate change, the results of exploration and development drilling and related activities, demand for oil and gas, commercial negotiations, other technical and economic factors or revisions and other factors, many of which are beyond the control of Pan Orient. Although Pan Orient believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statements will prove to be correct.