Sentry Petroleum Announces Upward Revision of Estimates
August 29 2011 - 9:15AM
Business Wire
Sentry Petroleum Ltd (SPLM:OTCBB), (“Sentry” or the “Company”),
a U.S. energy company with oil, gas and coal seam gas rights in
Queensland, Australia, is pleased to provide the following update
on the results from testing of Talundilly-CSG1 and Albilbah-CSG1
wells that were recently drilled in Queensland, Australia.
Albilbah-CSG1
Using data obtained during the recent drilling, the Company
re-interpreted the previous well logs from exploration work of
prior leaseholders relating to the Albilbah-1 well and confirmed
the gas-bearing Lower Winton Sands just below the carbonaceous
interval. This gas-bearing sandstone has a gross interval of 250
feet with a net interval of 115 feet. Analysis of water samples
taken during the exploration program allowed the Company to
recalibrate the well logs from Albilbah-1 and improve the
interpretation. The top 33 feet of the interval was cored by Sentry
in the Albilbah-CSG1 well and gas was recovered and is being
isotopically analyzed to identify its origin. Although the
reservoir rock appears to be laid down in a fluvial (river)
environment and has high organic content, it is not yet known if
the desorbed gas was generated from the indigenous organic matter
and/or from a deeper source rock and migrated into the reservoir.
The high concentration of organic material correlates to increased
ability of the interval to contain gas.
The Company is also undertaking analysis of the minerals
associated with the Lower Winton Sands to confidently estimate the
gas saturation in the interval. Sentry has forwarded samples for
routine core analysis for core porosity, permeability and residual
saturation measurements. Special core analysis will be carried out
to determine irreducible water saturations. With results from the
analysis currently underway, the Company believes it will be in a
position to estimate initial gas-in-place and recoverable
quantities over the area already identified by the reinterpretation
of seismic data. The Company anticipates that this work will be
completed in four to five weeks. Although the Company recovered gas
from the Winton Sands there can be no assurance that the amount of
gas determined to exist will be in quantities that are economically
viable. A great deal of further exploration is required in order to
make any such determination. The Company has already located areas
that are structurally higher than the Albilbah location and the
next well will target these gas sands and flow test to determine
the intervals producibility.
Talundilly-CSG1
Gas desorption from the Talundilly-CSG1 cores has now concluded
and from a visual inspection of the cores the Company is estimating
a gross carbon bearing interval of 80 feet of organic rich
reservoir and 120 feet of medium to light grey carbonaceous shale.
As a result of the high concentration of organic matter in the
carbon bearing interval, further analysis is required to accurately
categorize the cored material based on organic content. This will
enable the Company to assign gas content to the carbonaceous
material on the basis of measured quantities of carbon and gas.
Core samples have been forwarded for geochemical analysis of the
carbon content and the Company anticipates that this analysis will
take three to four weeks to conclude. Due to these factors the
Company cautions that the above results are initial estimates that
might change upon final laboratory analysis.
Sentry Vice President of Exploration Alan Hart commented on the
results to date, “We are very encouraged by the results of Sentry's
Phase 1 drilling program. Not only have we proven that there are
coal and shale deposits within our permits, we have shown that
these deposits are capable of desorbing gas. We have also confirmed
gas in a sandstone reservoir beneath the coal interval. The gas
desorption measurement has taken longer than we anticipated due to
the high organic concentration in the cores, something that bodes
well for the commerciality of this project. That said, further
drilling of up to 10 wells and flow testing will be required before
we can determine the economics of a resource that is deposited over
2,000 square miles.”
The Company advises that all future exploration work is
contingent on securing sufficient financing.
About Sentry Petroleum
Sentry Petroleum Ltd is an American energy company with 10,600
square miles of oil, gas and coal seam gas rights in Queensland,
Australia. The company has identified over 50 separate oil, gas and
coal seam gas targets and leads within its permit area. Sentry
Petroleum’s strategy is to drill the prospects and leads and
independently certify the results. The company will continue to
leverage its strengths with a vision of becoming a premier
independent oil and gas company positioned for merger or sale. For
more information, please visit www.sentrypetroleum.com.
Forward-Looking Statements:
This release includes certain statements that may be deemed to
be “forward-looking statements” within the meaning of applicable
legislation. Other than statements of historical fact, all
statements in this release addressing future operations,
undiscovered hydrocarbon resource potential, exploration, potential
reservoirs, prospects, leads and other contingencies are
forward-looking statements. Although management believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance, and actual results may differ materially from
those in the forward-looking statements due to factors such as
market prices, exploration successes, continued availability of
capital and financing, and general economic, market, political or
business conditions. Please see our public filings at
http://www.sec.gov and http://www.sedar.com for further
information.
Sentry Petroleum (CE) (USOTC:SPLM)
Historical Stock Chart
From Nov 2024 to Dec 2024
Sentry Petroleum (CE) (USOTC:SPLM)
Historical Stock Chart
From Dec 2023 to Dec 2024