Questerre Energy Corp (Canada) T.QEC

News st david#1 hit 450m/cf vertical

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Calgary, Alberta - Questerre Energy Corporation ("Questerre" or the "Company") (OSE,TSX:QEC) announced preliminary test results from its program in the St. Lawrence Lowlands, Quebec.

 

Two prospective shale zones in St. David #1 were fracture stimulated in a single operation. On a 17-day test, the well flowed at a stabilized rate of 450 mcf/d. Based on an analysis of the production logs, this flow rate is interpreted to be primarily from a single zone. The well is currently shut-in for buildup to gather additional pressure data.

 

Michael Binnion, President and Chief Executive Officer of Questerre, commented, “450 mcf/d from a single frac in a vertical well is excellent for an emerging shale play. This result correlates with the over 800 mcf/d test last August from the same zone in Gentilly #1. We look forward to drilling our first horizontal well with multi-stage fracs targeting this zone which we are confident will significantly increase the rates.”

 

Questerre also updated the status of recent testing on Gentilly #1 and La Visitation #1.

 

The Lorraine formation was successfully frac’d in Gentilly #1. Sustained gas flows were achieved encouraging further work to assess this potential.

 

Three prospective shale zones in La Visitation #1 were stage fracture stimulated early this winter. Two zones in the Utica formation flowed at a preliminary rate of approximately 300 mcf/d over a five-day test period. Production logging indicates the majority of the flow is from the same zone as the successes at St. David #1 and Gentilly #1. Testing was affected by flow back of proppant and frac fluids and further analysis is necessary to fully evaluate the results.

 

Mr. Binnion added, “Overall we think this program is delivering tremendous results. We have one zone with three vertical successes over a broad geographic area. While early, this zone exhibits the characteristics required to carry a commercial development. Two other zones show good promise and we expect further engineering work will unlock their potential.”

 

Questerre also reported that the operator has begun work on a seismic acquisition program in the Lowlands. The 2-D data will target several areas for prospective pilot pads that could include multiple horizontal wells.

 

Questerre is a Calgary-based independent resource company actively engaged in the exploration, development and acquisition of high-impact exploration and development oil and gas projects in Canada.

 

This news release contains forward-looking information. Implicit in this information are assumptions regarding commodity pricing, production, royalties and expenses, that, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. These forward-looking statements are based on certain assumptions that involve a number of risks and uncertainties and are not guarantees of future performance. Actual results could differ materially as a result of changes in the Company’s plans, commodity prices, equipment availability, general economic, market, regulatory and business conditions as well as production, development and operating performance and other risks associated with oil and gas operations. There is no guarantee made by the Company that the actual results achieved will be the same as those forecasted herein.

 

Barrel of oil equivalent (“boe”) amounts may be misleading, particularly if used in isolation. A boe conversion ratio has been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil and is based on an energy equivalent conversion method application at the burner tip and does not necessarily represent an economic value equivalent at the wellhead.

 

This news release does not constitute an offer of securities for sale in the United States.  These securities may not be offered or sold in the United States absent registration or an available exemption from registration under the United States Securities Act of 1933, as amended.

 

For further information, please contact:

Anela Dido, Investor Relations, Questerre Energy Corporation

Tel: [phone] | Fax: [phone] | Email: [e-mail]