First Calgary Petroleums Ltd. Announces Gas & Condensate Discovery Test

    Results Algeria

 

    TSX SYMBOL: FCP

    LSE SYMBOL: FPL

 

    CALGARY, AB, March 26 /CNW/ - First Calgary Petroleums Ltd. today

released production test results from its gas and condensate discovery well

MLE-2, located on its 100% working interest Ledjmet Block (405b) in Algeria.

Production liner was set to total depth of 4,390 meters in the well and multi-

rate production tests were conducted over six intervals confirming the

previously announced 147 meters (480 feet) of net pay in the Triassic TAGI,

Carboniferous, and Upper and Lower Devonian zones.

    The well production tested cumulatively 44,330 barrels of oil equivalent

per day (boe/d), comprising 189 million cubic feet of gas per day (mmcf/d) and

12,874 barrels of condensate per day (bc/d), at 2,000 psi flowing tubing head

pressure (FTHP). The table below summarizes all results on a zone by zone

basis. MLE-2 is an appraisal well to First Calgary's gas and condensate

discovery well, MLE-1, which production tested 8,911 boe/d comprised of 43

mmcf/d and 1,745 bc/d. Combined production tests for the two wells total

53,241 boe/d, comprising 232 mmcf/d and 14,619 bc/d.

    Richard Anderson, President and CEO of First Calgary's stated, "This

discovery is a milestone in the growth of FCP. The results from MLE-2,

combined with those from MLE-1 confirm the MLE pool to be commercial in size."

Martin Layzell, FCP's Vice President, Exploration added, "We are all very

excited with the results from MLE-2, it has exceeded our expectations and is

clearly a world class hydrocarbon discovery. MLE-2 is, if not the most, then

one of the most prolific discoveries in the region. The two wells confirm the

3D seismic interpretation of the MLE structure, indicating the field to be

approximately 100 sq km in area. Based on this success we are moving quickly

to firm up further locations for the MLE pool and are planning to drill the

next appraisal well in May."

    First Calgary's independent engineers, DeGolyer & MacNaughton, are in the

process of completing a revised reserves report based on the MLE-2 information

plus the 3D seismic covering the structure. First Calgary has commenced

preliminary engineering work to assess optimal field development and timing of

first production.

    Algeriais a major natural gas exporter, accounting for 34% of the

European imported natural gas market. Infrastructure to move gas to Europe is

in place with two pipelines under the Mediterranean and two additional

pipelines planned. Algeria ranks in the top ten countries worldwide for

natural gas resources.

    First Calgary's Ledjmet Block 405b covers 1108 sq km (255,000 acres). The

company expects to award a seismic contract within the next two weeks to

acquire an additional 600 sq km of 3D seismic to evaluate two additional

structural trends west of the MLE structure. Block 405b lies within the

prolific "Berkine Trend" where more than 5 billion barrels of oil and

substantial gas reserves have been established in the last 12 years.

 

 

    MLE-2 PRODUCTION TESTS SUMMARY

 

    -------------------------------------------------------------------------

                                                              Normalized

        Interval              Test Conditions                 Rates(xxx)

    -------------------------------------------------------------------------

                                          Conden-  To-         Conden-

                           FTHP(x)   Gas   sate  tal(xx)  Gas   sate   Total

                    Choke   (psi) (mmcf/d) (bc/d)(boe/d)(mmcf/d)(bc/d)(boe/d)

    -------------------------------------------------------------------------

    Triassic

     TAGI            40/64"  2,520   18.4  1,031   4,098  21.2  1,142   4678

    -------------------------------------------------------------------------

    Carboni-

     ferous  F1      44/64"  2,802   22.6  1,002   4,769  32.0  1,576  6,907

    -------------------------------------------------------------------------

    Upper    F2-A    58/64"  2,802   40.6    926   7,693  54.8  1,303 10,429

    Devonian ----------------------------------------------------------------

             F2-B    46/64"  3,346   31.7    651   5,934  50.8  1,212  9,681

    -------------------------------------------------------------------------

             F6-1

    Lower     Upper  32/64"  3,150    9.4  2,245   3,812  13.9  3,335  5,651

    Devonian ----------------------------------------------------------------

             F6-1

              Lower  40/64"  2,820   13.4  3,679   5,912  16.1  4,306  6,984

    -------------------------------------------------------------------------

                             TOTALS 136.1  9,534  32,217   189 12,874 44,330

                            -------------------------------------------------

 

                    (x)   Flowing Tubing Head Pressure

                    (xx)  Gas Equivalence (equal sign) 6 mcf/boe

                    (xxx) Normalized to 2000 psi Flowing Tubing Head Pressure

 

    This news release may include statements about expected future events

    and/or financial results that are forward looking in nature and subject

    to risks and uncertainties. First Calgary cautions that actual

    performance will be affected by a number of factors, many of which are

    beyond its control. Future events and results may vary substantially from

    what First Calgary currently foresees.

 

    For further information: Martin Layzell, Vice President Exploration,    

Tel (403) 264-6697; European Contact: 4C Communications; Carina Corbett,      

Tel +44 (0) 20 7907 4761, Website: www.fcpl.ca

    (FCP. FPL)

 

 



END