marketwireRESS RELEASE
Nov. 10, 2010, 9:31 a.m. EST
Edge Resources Inc.: Operational Update-Early Drilling Success
CALGARY, ALBERTA, Nov 10, 2010 (MARKETWIRE via COMTEX) -- EDGE RESOURCES INC. ("Edge" or the "Company") (CA:EDE 0.20, 0.00, 0.00%) announces that, further to its November 4, 2010 press release, the Company has successfully drilled and cased the first four wells of its multi-well program. Drilling has progressed exceptionally well, with no issues or concerns to report. To date, all wells have been drilled under budget and under the expected timelines. The drilling rig is continuing to drill wells in this first phase of a larger drilling program; and drilling updates will be forthcoming as the program proceeds.
The Company was especially pleased to be in a position to contract Ensign's Encore 430 Automated Drilling Rig ("ADR"), one of the industry's leading and most respected drilling rigs for this type of program. The ADR uses innovative automation technology to reduce time, cost and risk of injury. Encore 430 also has a very small footprint, which allows the Company to reduce or, in some cases, eliminate the need to construct a large location on which to place and operate the drilling rig. This also lowers the cost of moving the rig between locations. In three of the first four wells, the Company was able to utilize "minimal disturbance" locations, meaning, the ADR rig could be moved to location without the need to move or remove any topsoil. This reduces the overall cost of drilling and does not disturb native soils or the environment, which is favorable to the Company, landowners and the environment.
Brad Nichol commented, "I am especially pleased with the crew of Encore 430. This team of exceptional people has worked on this rig under difficult conditions for many years and Edge is receiving the full, direct benefit of their experience on this drilling program. We have shattered time budgets, with one of the four wells being successfully drilled to a depth of 793 meters in less than 10.5 hours. This is industry-leading, in my experience." Nichol added, "The Edge team performed extremely well given the difficult, and often wet, weather conditions in preparation for this drilling program. We beat the busy pre-winter drilling season by being prepared after the incredibly wet summer to start drilling immediately."
The Ensign ADR will be released at the end of this initial phase of drilling while the Company prepares the surface leases and necessary approvals for phase II of the program, which involves the drilling of additional wells under agreements that allow the Company to drill and earn up to a total of 39 sections of prime Edmonton Sands prospective land. If the Company fully exercises its options, these 39 sections would complement, geologically and geographically, the Company's 12 existing sections.