2013-01-29 15:53:32 -
Calgary, Alberta CANADA, January 29, 2013 /FSC/ - Passport Energy Ltd. (PPO - TSX Venture)("Passport" or the "Company") is pleased to announce that it has filed its 51-101 reserve report on its reserves in the Hardy area of SE Saskatchewan.
Hardy North Area (SE Saskatchewan)
GLJ Petroleum Consultants ("GLJ") has updated the Company's reserves assessment and evaluation report (effective September 30, 2012) and has assigned initial recoverable reserves (Total Proved plus Probable Producing category) of 119,000 gross bbls (29,750 net bbls) to the 4-16 well.
The GLJ assigned number of 119,000 barrels represents a 33% increase from GLJ's original reserve report (effective September 30, 2011) for the well.
GLJ has also assigned an additional 183,000 gross bbls (46,000 bbls net)
of Proved plus Probable Producing to two additional offset locations.
Hardy South Area (SE Saskatchewan)
GLJ has assigned initial recoverable reserves (Total Proved plus Probable Producing category) of 70,000 gross bbls (35,000 net bbls) to the 11-32 well. GLJ has also assigned an additional 70,000 gross bbls (35,000 net bbls) of Proved plus Probable Producing to an offset drilling location.
GLJ has assigned Passport, total proved company interest reserves of 27,000 bbls (77,000 gross bbls) and 100,000 net bbls (348,000 gross bbls) of total proved plus probable reserves.
This represents a 170% increase in the company's total proved reserves and a 67% increase in the company's total proved plus probable reserves.
Proved Reserves; are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.
Probable Reserves; are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves.
Developed Producing Reserves; are those reserves that are expected to be recovered from completion intervals open at the time of the estimate. These reserves may be currently producing or, if shut-in, they must have previously been on production and the date of resumption of production must be known with reasonable certainty.
Undeveloped Reserves; are those reserves expected to be recovered from known accumulations where a significant expenditure (for example, when compared to the cost of drilling a well) is required to render them capable of production. They must fully meet the requirements of the reserves category (proved, probable, possible) to which they are assigned.
Passport also announces that it has received an update on the Hardy North 14-17 (Passport working interest 15%) from its partner and operator of the well. The well has been averaging 10 BOPD with a water cut of approximately 90%. This well has also been producing with a high fluid level which is not typical for Bakken producers. A remedial workover is being evaluated by the operator, but will not be performed until after spring break-up.
The Company is a junior natural resource exploration company focused on the acquisition, exploration, and development of economically viable natural resources, with a focus on Bakken oil projects.
The Company trades on the TSX Venture Exchange under the trading symbol "PPO".
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
For more information, please refer to the Company's public documents available on SEDAR (www.sedar.com).
For further information contact:
President & CEO
Passport Energy Ltd. (PPO: TSX.V)
Shares Issued - 91,347,318
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Source: Passport Energy Ltd. (PPO - TSX-V)
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