2013-10-29 12:30:39 -
Calgary, Alberta CANADA, October 29, 2013 /FSC/ - Jadela Oil Corp. (JOC - TSX Venture), ("Jadela" or the "Corporation") wishes to advise that on October 24, 2013, Strata-X Energy Ltd. ("Strata-X") announced that it has contracted Unison Drilling, Inc. of Devine, TX to utilize their rig #11 to drill Cinco Saus Creek #1 and expects the rig to be mobilized to the location by the first week of December 2013. Strata-X announced that the location is currently being permitted and that Strata-X anticipates receiving all required regulatory approvals by late November. Strata-X announced that the Cinco Saus Creek #1 is designed and is being permitted as a vertical test of the targeted Eagle Ford formation in the Maverick Basin. Strata-X
anticipates coring approximately 600 feet of the targeted Eagle Ford shale and Buda formations. The Cinco Saus Creek #1 well is to be located in Survey 9 Abstract 148 south of Jadela's El Indio #1H Eagle Ford well. Jadela has a 6.5% working interest in the mineral rights and the operations are subject to a joint operating agreement. Jadela has not received an Authorization for Expenditure or other well information.
Jadela has oil and gas mineral lease rights to 8,307 gross acres and 1,201 net acres on the Cinco Ranch. Jadela has a 65% working interest in 660 gross acres (430 net acres) as a result of drilling and completing El Indio #1H. The well is producing limited quantities of oil. Jadela is entitled to all proceeds from El Indio #1H until payout. Jadela is the operator.
Strata-X has acquired mineral leases covering 10,945 gross acres (8,846 net acres) on the Cinco Ranch which will expire in November 30, 2015 of which Jadela has mineral rights in approximately 7,647 gross acres (771 net acres) with working interest ranging from 6.5% to 12.5%. In addition, Jadela has an area of mutual interest right to acquire a 25% co-ownership interest in up to approximately 2,099 gross acres on the Cinco Ranch if any part of such mineral rights have not been leased upon such mineral rights being leased. Jadela has an area of mutual interest right to acquire a 25% co-ownership interest on mineral rights acquired by Strata-X in Maverick, Dimmitt and Zavala Counties, Texas until December 31, 2013.
Jadela is a junior oil and gas exploration company. For further information, please contact:
Gregory J. Leia, President and CEO
Jadela Oil Corp.
Suite 203 - 221 - 10th Avenue SE
Calgary Alberta T2G 0V9
T: (403) 265 4122
Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. In particular, forward-looking information in this press release includes, but is not limited to, statements with respect to the timing and completion of the Cinco Saus Creek #1 well and related information. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking information is based on the opinions and estimates of management at the date the statements are made and are founded on the basis of expectations and assumptions made by Jadela. Such forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: general economic conditions in Canada, the United States and globally; industry conditions, including fluctuations in the prices of oil and natural gas; governmental regulation of the oil and gas industry, including environmental regulation; unanticipated operating events or performance which can reduce production or cause production to be shut in or delayed; failure to obtain industry partner and other third party consents and approvals, if and when required; competition for and/or inability to retain drilling rigs and other services; the availability of capital on acceptable terms; the need to obtain required approvals from regulatory authorities; stock market volatility; volatility in market prices for oil and natural gas; liabilities inherent in oil and natural gas operations; competition for, among other things, capital, acquisitions of reserves, undeveloped lands, skilled personnel and supplies; incorrect assessments of the value of acquisitions; geological, technical, drilling, processing and transportation problems; changes in tax laws and incentive programs relating to the oil and gas industry; failure to realize the anticipated benefits of acquisitions and dispositions; and other factors. Readers are cautioned that this list of risk factors should not be construed as exhaustive.
The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.
This press release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to "U.S. persons" (as such term is defined in Regulation S promulgated under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
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 release.
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Source: Jadela Oil Corp. (TSX-V: JOC) www.jadelaoil.com/
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