American Liberty Petroleum Corp. Provides Progress Update for Nevada-Based Cortez Operation
June 05 2012 - 8:59AM
Business Wire
American Liberty Petroleum Corp. (OTCBB: OREO) (herein after
"American Liberty" and/or "the Company") is pleased to provide a
summary of the Company's recent progress on the Cortez Operation.
The operation is located on the 3,840-acre Cortez lease in Gabbs
Valley, Nye County, Nevada, and includes two wells: Cobble Cuesta
1-12 and Paradise 2-12.
In early May 2012, work resumed on the Paradise 2-12 well,
including a fluid level test that indicated a 1920' fluid column in
the well bore above the pump. Following the application of hot
water and a new proprietary chemical formula treatment, the well
produced additional fluid consisting of an oil/water mix. In total,
approximately 29 barrels of crude was shipped to Foreland's Eagle
Springs Refinery in neighboring White Pine County, representing the
Company's second sale to Foreland. The BLM was also notified of the
sale in order that the Company might secure "held by production"
status on the Cortez lease.
The Company has continued to work with oil and gas consulting
services firm Netherland, Sewell & Associates Inc. ("NSAI") to
gather information toward determining next steps in the development
of the Cortez operation. In particular, the Company is currently
considering options that include:
1) Deepening the Cobble Cuesta 1-12 well
2) Deepening the Paradise 2-12 well
3) Drilling a new well based on information gained to date
4) Performing more seismic surveying prior to further
exploration activities
NSAI is assisting the Company's assessment of all possible
options by reviewing and evaluating the geological information
currently available, and is providing American Liberty with their
recommendations of the technical alternatives associated with each
of the options, taking care to point out both the merits and
potential challenges of each.
As of May 29, 2012, the Company had received an Authority For
Expenditure (AFE) to re-enter the Cobble Cuesta 1-12 well, and an
AFE to drill a new well in the Cortez lease. The AFEs act as
budgetary documents that list the estimated expenses associated
with the development activity in question: in the case of the well
re-entry, an oil/gas well/re-enter with intermediate casing at
6000' and production casing at 8500', including perforate casing
and frac; in the case of the new well, an oil/gas well with surface
casing at 850', intermediate casing at 6000', and production casing
at 8500', including perforate casing and frac.
American Liberty Petroleum's President, Alvaro Vollmers,
commented: "We're encouraged to have completed a second sale of
crude to the Foreland refinery. Meanwhile, we're looking forward to
receiving NSAI's development recommendations on our best options
for maximizing on production potential at the Cortez
operation.”
FOR MORE INFORMATION
Learn more about the Cortez Operation and the Gabbs Valley
Prospect at the American Liberty Petroleum website, where you can
also find more information about the Company as well as the latest
news releases: http://www.americanlibertypetro.com.
ABOUT AMERICAN LIBERTY PETROLEUM CORP.
Based in Bakersfield, California, American Liberty is a publicly
traded company (OTCBB: OREO) focused on reducing America’s need for
imported oil through discovering major, new onshore U.S. energy
resources and by tapping overlooked or undervalued onshore domestic
resources through exploration and development technologies not
previously available. Recent significant discoveries, such as
Occidental Petroleum's estimated 1+ billion barrels of oil and
natural gas equivalents in California*, underscore the potential
for developing new oil and gas production solutions in western
America. Next door in the under-explored state of Nevada, American
Liberty's 8,157-acre Gabbs Valley Prospect is located on the
26,000-acre Cobble Cuesta structure, which is estimated to
represent oil reserves of 4+ billion barrels**. The Company's
7,270-acre Kibby Flat Prospect in the Monte Cristo basin,
meanwhile, represents estimated ultimate recovery (EUR) of as high
as 669 million barrels of oil according to a 2008 report***.
* Occidental Petroleum's Path to Easy Oil. Forbes Magazine,
March 29, 2010** Reserve Estimates for the Cobble Cuesta Structure,
Alfred H. Pekarek, Ph.D., Geologist, January, 2008*** Kibby Flat
Prospect report, Jerry Walker, Consulting Geologist, Sept. 2008
ON BEHALF OF THE BOARD OF DIRECTORS,
American Liberty Petroleum Corp.Alvaro Vollmers, President
4900 California Ave.Tower B-210Bakersfield, CA 93309
OTCBB: OREO.OB
Certain statements in this press release are considered to be
forward looking and involve a number of risks and uncertainties.
Such forward-looking statements are within the meaning of that term
in Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended.
American Liberty Petroleum Corp. bases these forward-looking
statements on current expectations and projections about future
events, which are based on information currently available. The
forward-looking statements in this press release may also include
statements relating to American Liberty Petroleum Corp.'s
anticipated business prospects, new developments, financial
performance, strategies and similar matters. American Liberty
Petroleum Corp. disclaims any obligation to update any of its
forward-looking statements, except as may be required by law.
Cautionary Note to U.S. Investors - The United States Securities
and Exchange Commission permits U.S. mining companies, in their
filings with the SEC, to disclose only those mineral deposits that
a company can economically and legally extract or produce. We may
use certain terms in this press release, such as “measured,”
“indicated,” and “inferred” “resources,” which the SEC guidelines
strictly prohibit U.S. registered companies from including in their
filings with the SEC. U.S. Investors are urged to consider closely
the disclosure in our Form 10-K which may be secured from us, or
from our website at http://www.sec.gov/edgar.shtml.