Challenger Hits Main Target Zone and Updates Progress on 'Endeavour' Well Drilling Offshore Trinidad
December 29 2008 - 1:38PM
Marketwired
Challenger Energy Corp. ("Challenger") (TSX VENTURE: CHQ) (AMEX:
CHQ) announced today that Challenger, along with its partners,
Canadian Superior Energy Inc. ("Canadian Superior") (TSX: SNG)
(AMEX: SNG) and, BG International Limited ("BG"), a wholly owned
subsidiary of the BG Group plc (LSE: BG.L) having drilled the
"Endeavour" well offshore Trinidad to a depth of approximately
17,063 feet subsea in the final section of the well and into the
main target zone for the well, have decided to re-drill the final
section of the well with a mechanical sidetrack. Further drilling
in the previously drilled final section is no longer practicable
due to well bore damage that occurred during recent well control
operations. Well control operations were initiated to manage an
uncontrolled flow into the well that occurred during regular
drilling operations while changing out a worn drill bit.
The geological data obtained from the drilling to date of
'Endeavour' has prompted the decision to re-drill the final section
of the well with a mechanical sidetrack. When drilling was stopped
to change out a worn drill bit, the data indicated that the main
targeted zone for this well has been encountered. Logging While
Drilling data indicates that the 'Endeavour' well has encountered
162 ft of gross reservoir quality sands over a 168 foot interval to
this point. The partners in the well have agreed to drill further
into the main target zone; to better determine the full extent of
reservoir, to obtain wireline logs over the pay section, and to
further evaluate the various reservoir parameters. The sidetrack
drilling operations are planned to commence within five days. Well
data from the Endeavour well will be used to position a potential
appraisal well in 2009 over a previously announced discovery on
Block 5(c).
The "Endeavour" well, spudded on August 28, 2008, is the 3rd
well in an initial 3 well program being drilled by Challenger and
its partners on Block 5(c), located approximately 60 miles
offshore, off the east coast of Trinidad. "Endeavour" is being
drilled on a separate prospect determined from the analysis and
evaluation of extensive 3D seismic on Block 5(c). Earlier this
year, Challenger announced two separate natural gas discoveries on
Block 5(c); in the "Victory" well, announced on January 14, 2008;
and, in the "Bounty" well, announced on August 13, 2008. The
"Endeavour" well is being drilled by the Kan Tan IV
semi-submersible drilling rig in approximately 1,000 feet of
water.
Challenger is paying one third of the costs of the initial
exploration program on Block 5(c) to earn a 25% interest in the
production sharing contract covering Block 5(c).
Challenger Energy Corp. is a Calgary, Alberta, Canada based oil
and gas exploration company which is currently focusing on "high
impact" oil and gas plays offshore the Republic of Trinidad and
Tobago. See www.challenger-energy.com for information on
Challenger.
BG Group plc (LSE: BG.L) is a world leader in natural gas, with
a strategy focused on connecting competitively-priced resources to
specific, high-value markets. Active in 27 countries on five
continents, BG Group has a broad portfolio of exploration and
production, Liquefied Natural Gas (LNG), transmission and
distribution and power generation business interests. It combines a
deep understanding of gas markets with an excellent track record in
finding and commercialising reserves. See www.bg-group.com for
information on BG Group plc.
Canadian Superior is a Calgary, Alberta, Canada based oil and
gas exploration and production company with operations primarily
offshore Trinidad and Tobago, offshore Nova Scotia, Canada, Western
Canada, and North Africa. See Canadian Superior's website at
www.cansup.com for information on Canadian Superior.
This news release contains forward-looking information,
including estimates, projections, interpretations, prognoses and
other information that may or relates to future production,
resource potential and/or reserves, project start-ups and future
capital spending. Forward-looking information contained in this
news release is as of the date of this news release. The Company
assumes no obligation to update and/or revise this forward-looking
information "except as required by law". Actual results, estimates,
projections, resource potential and/or reserves, interpretations,
prognoses and/or estimated results could differ materially due to
changes in project schedules, operating performance, demand for oil
and gas, commercial negotiations or other technical and economic
factors or revisions. This news release may contain the reference
to the term "undiscovered natural gas resources", which are those
quantities of natural gas estimated to be contained in
accumulations yet to be discovered. There is no certainty that any
portion of undiscovered resources (oil, natural gas, natural gas
liquids or other hydrocarbons) will be discovered and that, if
discovered, in this or any other discovery, the discovered resource
may not be economically viable or technically feasible to
produce.
Statements contained in this news release relating to future
results, events and expectations are forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements involve known and unknown
risks, uncertainties, scheduling, re-scheduling and other factors
which may cause the actual results, performance, estimates,
projections, resource potential and/or reserves, interpretations,
prognoses, schedules or achievements of the Corporation, or
industry results, to be materially different from any future
results, performance or achievements expressed or implied by such
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the Corporations' annual reports on Form 20-F on file with the U.S.
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Contacts: Challenger Energy Corp. Attention: Dan MacDonald (403)
503-8815 (403) 503-8811 (FAX) Challenger Energy Corp. Suite 200,
744 - 4th Avenue S.W. Calgary, Alberta, Canada T2P 3T4 Website:
www.challenger-energy.com