Post by
cantkillme on Mar 17, 2011 11:02am
NEWS out-Big Gas Deal
GlobeinvestorGOLD.com Company News Alert for Donnybrook Energy
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Pennant Energy shares soar on natgas liquids drilling agreement
BANGALORE, March 17 (Reuters) - Shares of Pennant Energy Inc
rose 35 percent after the junior oil and gas explorer
signed a deal to drill a test well in a natural gas liquids-rich
property.
There is a growing appetite to hunt for natural gas liquids
since the liquids stripped from natural gas, butane for example,
can be sold at a premium to dry gas.
The Vancouver, British Columbia-based company signed a
farmout agreement with Donnybrook Energy Inc to start
drilling at its Bigstone area in Edmonton, Alberta in the third
quarter of this year, it said in a statement.
Pennant, which operates in Alberta and Manitoba, will pay
permit and other costs of $67,000 and 37.5 percent of the
drilling, completion and tie-in costs to get 37.5 percent
working interest, which will fall to a quarter after costs are
paid.
Donnybrook will act as the operator and participate as to a
25 percent working interest in the drilling, completion and
tie-in (or abandonment) of the test well.
"We are very pleased to have been able to successfully
switch Pennants focus from primarily natural gas to natural gas
liquids (NGL) and acquire such a large land package in an NGL
rich area where land is either very expensive or difficult to
acquire," Chief Executive Thomas Yingling said in a statement.
The company's shares were trading up about 30 percent at
C
.22 making it one of the top percentage gainers in morning
trade on the Toronto Venture Exchange.
Its shares, which have risen by about a fifth so far this
year, had earlier touched a nine-month high of C
.23.
Donnybrook's shares were up just over 5 percent at C
.58.
(Reporting by Savio D'Souza)
Comment by
richy41 on Mar 17, 2011 11:21am
Awesome news, been following DEI.V before when they were CPP.V. Since the name change and new focus on the montney play they have had great share price appreciation and about 4 times the share float. Great time to own PEN.V.GLTA Richy
Comment by
wintersun10 on Mar 17, 2011 11:29am
finally some good news...........
Comment by
Oil100bucks on Mar 17, 2011 4:02pm
I agree, it's about time for some good news. Who was the other company involved with there 25% buy in?
Comment by
wintersun10 on Mar 17, 2011 9:35pm
yes and not to far away from the Bronson Properties in the Kaybop area
link to Donnybrook presentation:
https://cms.spincaster.com/siteFiles/27/files/DEI23Feb2011.pdf