- Published: 01 July 2015
- Written by Editor
Alvopetro Announces Block 182 Discovery
CALGARY, ALBERTA--(Jun 30, 2015) - Alvopetro Energy Ltd. (TSX VENTURE:ALV) is pleased to announce that our 182(B1) well, located on Block 182 in the Recôncavo basin in the State of Bahia, Brazil, has discovered hydrocarbons. The 182(B1) well reached a total measured depth of 2,095 metres. While drilling, inflows of oil and solution gas were experienced into the wellbore from an over pressured hydrocarbon bearing zone at approximately 1722 m MD in the Candeias Formation. The well was controlled, the hydrocarbons were circulated out, the drilling fluid density was increased and the well was drilled to total depth, successfully cased, and cemented. Due to the formation pressures encountered, cased-hole sonic and neutron logs were run. The logs indicate the well has encountered 6 metres of potential conventional hydrocarbon pay in the Agua Grande Formation at 1900 - 1906 m MD, with an average 35% water saturation and porosity range of 10 - 14%. We plan to conduct further cased hole logging and test the hydrocarbon potential of both the Candeias and Agua Grande Formations over 72-hour initial period tests and then long-duration tests in accordance with Brazilian hydrocarbon regulations.
The well satisfies our current phase exploration work commitment and we have two additional prospects on this block.
We continue to focus significant effort on interpreting our extensive reprocessed 3D seismic database. Our conventional exploration inventory has now expanded to 21-prospects. One of our more prospective conventional oil exploration opportunities is a shallow target on Block 170, at 2,000 metres vertical depth, that we plan to drill in the second half of 2015.
We are also sourcing a larger drilling rig capable of efficiently drilling our first Bom Lugar horizontal development oil well. It is expected this rig would also be used to drill the first of two conventional oil prospects on Block 107 which are offsetting and analogous to our Bom Lugar producing field.
Updated Corporate Presentation
Our updated corporate presentation is available at http://www.alvopetro.com/corporate-presentation.
Alvopetro Energy Ltd.'s vision is to be the premier independent exploration and production company in Brazil, maximizing shareholder value by applying innovation to underexploited opportunities, while maintaining our focus on being a low cost operator. Our strategy is to focus on three core opportunities including lower risk development drilling on our mature fields, shallow conventional exploration, and the development of the significant hydrocarbon potential present in our deep Gomo resource play. Alvopetro's strong financial position, along with our talented team and highly prospective land base, position us to successfully pursue our strategy.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Statements and Cautionary Language. This news release contains "forward-looking information" within the meaning of applicable securities laws. The use of any of the words "will", "plan", "intend" and other similar words or expressions are intended to identify forward-looking information. More particularly and without limitation, this news release contains forward-looking information concerning financial results and operating results, reserves and potential hydrocarbons in our assets, exploration and development prospects of Alvopetro and the expected timing of certain of Alvopetro's testing and operational activities. The forward‐looking statements are based on certain key expectations and assumptions made by Alvopetro, including expectations and assumptions concerning testing results, the timing of regulatory licenses and approvals, availability of capital, the success of future drilling and development activities, prevailing commodity prices and economic conditions, the availability of labour and services, the ability to transport and market our production, timing of completion of infrastructure and transportation projects, weather and access to drilling locations. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results achieved during the forecast period will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. Although Alvopetro believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Alvopetro can give no assurance that it will prove to be correct. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the operations or financial results of Alvopetro are included in our annual information form which may be accessed through the SEDAR website at www.sedar.com. The forward-looking information contained in this news release is made as of the date hereof and Alvopetro undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Alvopetro Energy Ltd.
Corey C. Ruttan
President, Chief Executive Officer and Director
Alvopetro Energy Ltd.
E. John Koch
Chief Operating Officer