PER Peruvian Metals Corp

Petro-Reef Resources Ltd. (TSX VENTURE:PER) ("Petro-Reef" or the "Company")
announces that its recently drilled 11-12-56-27w4 Detrital sand oilwell is now
on stream. The initial two weeks of production averaged 160 barrels of oil per
day, with three percent water cut. The Company operates and has a 94 percent
working interest in the well. It is expected the well will meet its allowable of
125 barrels per day during the initial four month production test period, based
on the initial performance and the historic performance of the other wells in
the pool.


Petro-Reef is making preparations to drill the next well in the development
program, expected to spud in September, at 15-12-56-27w4. Based on 3D seismic
interpretation, at least three more additional delineation wells remain to be
drilled on the pool. Petro-Reef has also commenced the preliminary work
necessary to make an application for a waterflood program on the Detrital sand
oilpool. The Company has working interests ranging from 79 to 94 percent on the
lands covering the pool.


Current corporate production is 820 barrels of oil equivalent per day, with
approximately 59 percent being crude oil and natural gas liquids production.


Petro-Reef also announces that its Annual and Special General Meeting of
shareholders will be held on Friday September 7, 2012 at 10:00 am at the Calgary
Petroleum Club. The Company will be mailing a new Management Information
Circular to the shareholders in early August.


Forward-Looking Statements: All statements, other than statements of historical
fact, set forth in this news release, including without limitation, assumptions
and statements regarding reservoirs, resources and reserves, future production
rates, exploration and development results, financial results, and future plans,
operations and objectives of the Corporation are forward-looking statements that
involve substantial known and unknown risks and uncertainties. Some of these
risks and uncertainties are beyond management's control, including but not
limited to, the impact of general economic conditions, industry conditions,
fluctuation of commodity prices, fluctuation of foreign exchange rates,
environmental risks, industry competition, availability of qualified personnel
and management, availability of materials, equipment and third party services,
stock market volatility, timely and cost effective access to sufficient capital
from internal and external sources. The reader is cautioned that assumptions
used in the preparation of such information, although considered reasonable by
the Corporation at the time of preparation, may prove to be incorrect. There can
be no assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those anticipated in such
statements. 


Reference is made to barrels of oil equivalent (BOE). Barrels of oil equivalent
may be misleading, particularly if used in isolation. In accordance with
National Instrument 51-101, a BOE conversion ratio for natural gas of 6 Mcf: 1
bbl has been used, which is based on an energy equivalency conversion method
primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead.

Peruvian Metals (TSXV:PER)
Historical Stock Chart
From Oct 2024 to Nov 2024

Peruvian Metals (TSXV:PER)
Historical Stock Chart
From Nov 2023 to Nov 2024