NEWSWALDRON ENERGY ANNOUNCES THIRD RICINUS ELLERSLIE DISCOVERY WELL
Waldron Energy Corp. has had a third successful vertical Ellerslie liquids-rich natural gas discovery well at Waldron Ricinus 15-10-36-9W5M. The 15-10 vertical well was drilled to a depth of 3,550 m and tested at 4.5 million standard cubic feet per day at 1,000-pound-per-square-inch tubing pressure after fracture stimulation. The 100-per-cent-owned 15-10 vertical well is anticipated to be put on production by Aug. 15, 2010.
The 15-10 vertical well encountered a 29-metre-thick Ellerslie sand channel which correlates to Waldron's 3-D seismic and similar well logs in the Ferrier Ellerslie F pool. Wells in this analogue Ellerslie pool have produced on average 2.4 billion cubic feet per well to date and are projected to recover five billion to six billion cubic feet per well and have an average 30-per-cent decline in year one. In addition, the liquids recovery is expected to be 32 barrels (bbl) of natural gas liquids per million standard cubic feet with a 12-per-cent upgrade in heating value on natural gas pricing.
The 15-10 vertical well was drilled as a wildcat exploration well. The successful 15-10 vertical well has potentially extended the existing regional Ellerslie channel trend by 15 miles west of the Caroline Basal Mannville B pool and 10 miles south of Waldron's first two Ellerslie discovery wells. Waldron has accumulated 22 sections of 100-per-cent working interest lands directly on trend with this Ellerslie channel. The corporation currently has over 25 drilling locations identified on this play type.
The corporation has surveyed one exploration multizone Ellerslie/Viking vertical drill well at Ricinus 03-14-36-9W5M and one developmental drill well at Strachan 16-29-36-9W5M. Using Waldron's existing 3-D seismic, both wells are mapped to be in the Ellerslie high-permeable channel on 100-per-cent working interest lands. Additionally, Waldron is currently shooting an 11-section 3-D seismic program on its north Ricinus lands in order to further delineate the Ellerslie trend.
Waldron is also pleased to announce the addition of Greg Bay to its board of directors. Mr. Bay is the founding partner and president and chief executive officer of Cypress Capital Management Ltd. and brings with him over 25 years of experience in the investment industry with emphasis on the oil and gas sector. Prior to founding Cypress, Mr. Bay was a managing partner at M.K. Wong & Associates (now HSBC Asset Management Canada Ltd.) and prior to that he was assistant vice-president of investments at National Trust. Mr. Bay holds the CFA designation and currently serves on the board of directors of various public and private companies.