Canadian Imperial Venture Corporation CIMVF

diagram interpretation

[turr]

DIAGRAM INTERPRETATION - The Port au Port # 1 (PAP #1) sidetrack well (ST-1) was drilled last year to a bottom hole target approximately 325 meters NNW of PAP #1. The primary target in ST-1 was the Upper Aguathuna dolomite reservoir that is productive in PAP #1. Although this horizen was encountered as prognosed structurally, it was mostly represented by a tight oil-bearing limestone facies. The Lower Aguathuna was also oil-bearing, but tight. As a result of ST-1, a new geological model has emerged. The revised model recognizes that the reservoir formation occurred through the diagenetic change of tight limestone into porous and permeable dolomite by hydrothermal fluids introduced along the Round Head Thrust (not shown). By comparison with analogues such as the giant Albion-Scipio fields in the Michigan Basin and Ladyfern in North-Eastern British Columbia, the Garden Hill model predicts a linear field development paralleling the Round Head Thrust in a ribbon approximately 2 km wide along the entire inversion fairway. Based on reservoir thickness and fluid content seen in Port au Port #1 and St-1, the inversion fairway has the potential to contain hydrocarbons in the range of 200 - 400 million boe recoverable within Canadian Imperial Venture Corp's 33,000 acre lease area. Based on the new model and geophysical control, the PAP #2 well will be drilled this summer. The well will be drilled directionally from a surface location approximately 10 meters from PAP #1 to a subsurface target approximately 300 m to the NNE. Improved reservoir quality is expected with production rates estimated in the range of 2,000 to 8,000 barrels of oil per day. Commercial production of PAP #2 will come on line during the winter of 2002 - 2003.