Transeuro Energy Corp.: Ukraine Second Test Completed
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/02/11 -- Transeuro Energy Corp. ('Transeuro' or the 'Company') (TSX VENTURE: TSU)(OSLO: TSU) issues an update on its Ukraine operation as follows:
Flow testing of the second test interval of the previously announced 4 test programme on Karl-101 has been completed. The well was perforated underbalanced and flowed for 3 days before being shut in for a 48 hour pressure build up period. The stabilized flow rate was around 0.1 mmcf/d (3000m3/d) with traces of condensate liquid, giving a combined rate of approximately 17 barrels of oil equivalent per day (boepd). The maximum hourly rate recorded was 0.3 mmcf/d (8160 m3/d). No acid stimulation was performed on this interval.
The President & CEO, David Worrall commented;
'To conclude the evaluation of this interval, we will retrieve the perforating guns to confirm that all the explosive charges fired, and to download the memory pressure gauges. We will then continue with the testing programme on the upper intervals that represent around 55% of the overall reservoir including the best quality reservoir interval in the very top 30m that is expected to deliver the highest flow rates.
The low flow rates recorded in Test 2 suggest that there are no significant fractures in this interval however the results do confirm the presence of gas and condensate, and prove that gas recovery from this middle section of the reservoir is possible. The 2 completed tests have not achieved our target flow rates and suggest the lower reservoirs will require more aggressive well designs to recover the gas in place, possibly including horizontal wells, underbalanced drilling and/or fracturing technology.'
Transeuro is involved in the acquisition of petroleum and natural gas rights, the exploration for, and development and production of crude oil, condensate and natural gas. The Company's properties are located in Canada, Armenia, and Ukraine. In addition, the Company holds a back-in option to Eaglewood Energy Inc.'s exploration licenses in Papua New Guinea.
On behalf of the Board of Directors
Aage Thoen, Chairman
When used herein, the term 'boe' means barrels of oil equivalent on the basis of one boe being equal to one barrel of oil or NGLs or 6,000 cubic feet of natural gas (6 mcf: 1 bbl). Barrels of oil equivalent may be misleading, particularly if used in isolation. A conversion ratio of six mcf of natural gas to one boe is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the Oslo Bors accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Transeuro Energy Corp.
Chris McGillivray
IR
+1 604 728 0040
Transeuro Energy Corp.
David Parry
SVP
+1 604 681 3939
Transeuro Energy Corp.
Karen Jenssen
IR
+47 91 729787
www.transeuroenergy.com
