Petrobakken Provides Update on Swan Hills Activitehttps://www.petrobakken.com/news/view/1/petrobakken-provides-update-on-swan-hills-activites
CALGARY, ALBERTA--(Marketwire - Dec. 3, 2012) - PetroBakken Energy Ltd. (the "Company" or "PetroBakken") (TSX:PBN) is pleased to announce recent exploration developments with respect to the highly prospective Beaverhill Lake formation in the Swan Hills area, which we have targeted as one of our key new resource growth areas. Recent farm-in agreements with Arcan Resources Ltd. ("Arcan") has enabled us to secure up to 21.5 (11.25 net) sections of land within the prospective areas of the play by drilling 5 commitment wells and 2 option wells. Upon completion of these farm-in wells and combined with our existing acreage, we will have 90.5 (78 net) sections of land in this play with more than 175 potential net drilling locations identified.
To date, we have drilled 1 well and participated in 1 (0.5 net) farm-in well, and we are currently drilling 2 additional net wells targeting light oil in the Swan Hills area. We plan to be an active driller in the area with current plans to drill between 5 and 7 additional wells targeting the Beaverhill Lake formation by the end of the first quarter of 2013.
We are also pleased to announce that we have acquired 7,055,500 common shares of Arcan at an average price of $0.89 per share. These shares, which represent 7.2% of the issued and outstanding shares of Arcan, were acquired through the facilities of the CNSX Pure Trading exchange. As a result of this acquisition, PetroBakken now owns 16,605,900 common shares of Arcan, representing approximately 17% of the total issued and outstanding common shares of Arcan as of the date hereof, on a non-diluted basis.
An Early Warning Report detailing this ownership position will be filed on the System for Electronic Document Analysis and Review ("SEDAR") and can be viewed at www.sedar.com.
PetroBakken acquired the Arcan shares for investment purposes only. The investments will be reviewed on a continual basis, and our holdings may be increased or decreased in the future, depending upon economic or market conditions or matters relating to Arcan.