Casing Arion-1 as a potential oil wellBOGOTÁ, COLOMBIA--(Marketwire - Sept. 28, 2010) - PetromineralesLtd. ("Petrominerales") (TSX:PMG), a 66% owned subsidiary of PetrobankEnergy and Resources Ltd. (TSX:PBG), is pleased to announce that we arecasing Arion-1 as a potential oil well.
We completed drilling and logging operations at our Arion -1well, the second exploration well on the Northeast portion of our CorcelBlock in the Llanos Basin of Colombia. The well commenced drilling onAugust 9, 2010 and was drilled directionally to a total depth of 13,310feet on September 21, 2010. Well logs indicate 32 feet of potential netoil pay in the Guadalupe and Lower Sand 1 formations and we are casingthe well as a potential oil producer. Four separate test intervals havebeen defined in the Lower Sand 1 and Guadalupe intervals with testresults expected near the end of October. We successfully cored theGuadalupe zone in Arion-1 and preliminary core analysis demonstratesconsistency between the Guadalupe log evaluation and the oil stainedporosity observed in the core.
At our Amarillo-1 well we perforated an additional UpperGuadalupe sand that tested wet. The future evaluation program forAmarillo-1 will depend upon the test results from Arion-1 and couldinclude drilling a side-track well targeting potential net pay in theGuadalupe formation that recovered small amounts of 25 degree API oil.
We are planning to move the rig to our Caruto-1 explorationlocation in the Northeast portion of our Corcel Block and expect tobegin drilling operations in mid-October. In addition, our second rigoperating at Corcel commenced drilling operations on our Boa-2 appraisalwell on September 22, 2010.