Vancouver, BC / ACCESSWIRE / November 27, 2014 / Jagercor Energy Corp. (CSE:JEM) (the "Company" or "Jagercor") is pleased to announce that it has completed the drilling and completion phase of the three wells at the Catriel Oeste Oil Concession, located in Rio Negro Province, Argentina, which is the property of Central International Corporation Sucursal Argentina ("Central"). The wells were drilled as part of a project agreed to by Jagercor with Central pursuant to the Development Agreement (the "Agreement") previously announced on August 7, 2014.
The second well {referred to as CIC-RN-CO.2004} was completed on November 14, 2014, and the third well {referred to as CIC-RN-CO.2009} was completed on November 21, 2014. As previously announced in the Company's news release dated October 20, 2014, the first well {referred to as CIC-RN-CO.2003} was completed and production commenced immediately upon connection.
Operational Highlights:
- The second well {CIC-RN-CO.2004} has been drilled to a total measured depth of 975 meters, and the third well {CIC-RN-CO.2009} has been drilled to a total measured depth of 1300 meters. Both of them have been drilled through the whole thickness of the Quintuco formation.
- Second well has been successfully completed and flow tested. During completion tests the well was swabbed, testing an expected production rate of 130 barrels per day based on Central's workover reports.
- Third well has been successfully completed and flow tested. During completion tests the well was swabbed, testing an expected production rate of 92 barrels per day based on Central's workover reports.
- Surface production has not yet stabilized and is therefore not to be considered conclusive at this time.
The information described above should still be considered preliminary in nature, as much work remains over the next month in order to stabilize production and maximize production rates. The successful completion of Jagercor's three wells project has been performed within the estimated cost of construction on the Catriel Oeste Project.
Edgardo Russo, CEO of Jagercor stated, "We are pleased with the progress made to date on both the drilling operations and the completion of the production facilities. We feel that this marks a very significant stage in the development of our Company."
About Jagercor Energy Corp.
Jagercor Energy is a diversified, upstream oil and gas services company with capabilities in reservoir development, production optimization and production management. The Company has a skillful technical and highly trained management team with many years of operational experience in the oilfield operation sector in Argentina.
On behalf of the Board of Directors
JAGERCOR ENERGY CORP.
"Edgardo Russo"
President & CEO
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Forward-Looking Statement Advisory
This news release includes certain information, with management's assessment of Jagercor's future plans and operations, and contains forward-looking statements which may include some or all of the following: production from new wells and anticipated completion of wells drilled. By their nature, forward-looking statements are subject to numerous risks and uncertainties; some of which are beyond Jagercor's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, environmental risks, changes in environmental, tax and royalty legislation, competition from other industry participants, the lack of availability of qualified personnel or management, the inherent uncertainties and speculative nature associated with oil and gas exploration, development and production including drilling risks, geological risks and others, stock market volatility and ability to access sufficient capital from internal and external sources. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The principal assumptions Jagercor has made includes security of land interests, drilling cost stability, royalty rate stability, oil and gas prices to remain in their current range, finance markets continuing to be receptive to financing the Company and industry standard rates of geologic and operational success. Actual results could differ materially from those expressed in, or implied by, these forward-looking statements. Jagercor disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Reserves and Other Oil and Gas Disclosure Advisories
Jagercor has no working interest in the Property and does not claim to report any reserves, resources other than reserves or measurements thereof. Jagercor´s interest is limited to a funding agreement in the form of the Agreement entered into with Central.
Any references in this news release to test rates, flow rates, initial and/or final raw test or production rates, early production, test volumes behind pipe and/or "flush" production rates are useful in confirming the presence of hydrocarbons, however, such rates are not necessarily indicative of long-term performance or of ultimate recovery. Readers are cautioned not to place reliance on such rates in calculating the aggregate production for Jagercor or its partners.
All calculations converting natural gas to barrels of oil equivalent ("boe") have been made using a conversion ratio of six thousand cubic feet (six "Mcf") of natural gas to one barrel of oil, unless otherwise stated. The use of boe may be misleading, particularly if used in isolation, as the conversion ratio of six Mcf of natural gas to one barrel of oil is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
SOURCE: Jagercor Energy Corp.