CUT BANK, MT, Nov. 4, 2013 /CNW/ - Mountainview Energy Ltd. (TSXV:
MVW.V) ("Mountainview" or the "Company") provides an operational update on the 2013 summer drilling program in
Mountainview's 12 Gage project in the Williston Basin.
Olson 2-11S-1H, Section 2 & 11 T162-101W, Divide County, North Dakota
The Olson 2-11S-1H, (the "Olson 2 Well"), the second well in the three-well summer drilling program in
Mountainview's 12 Gage project in the Williston Basin, was drilled by
Nabors Rig 272 to a total depth of 18,888' in 16 days. The well
encountered encouraging geologic shows while drilling the lateral of
10,168', which was the longest lateral the Company has drilled
to-date. The fracture stimulation conducted was a 26-stage plug and
perforation program completed successfully with the well being placed
on production Oct. 16, 2013. The initial 7 day average production for
the Olson 2 Well, which is still recovering frac load water, was 506
boe/d gross (284 boe/d net) of 90% oil. The Olson 2 Well has produced
for approximately 18 days averaging 483 boe/d gross (271 boe/d net to
the Company) of 90% oil. Similar to the first well of the summer
program, the Heckman 7-6-1H Well, the Olson 2 Well has exceeded Company
production expectations thus far.
Charlotte 1-12-1H, Section 1 & 12 T162-R101W, Divide County, North
Dakota
The Charlotte 1-12-1H, (the "Charlotte Well"), the Company's third Three Forks well of its summer three-well
drilling program is most recent well that the Company has placed on
production with artificial lift. The Charlotte has only been on
production for approximately 5 days. The Company will follow up this
release with another announcement of the production results for the
Charlotte well.
Mountainview Operational / Production Update
The Company now has five wells from the winter and summer drilling
program on production with artificial lift at a current production
rates of 1,107 boe/d net. This rate does not include production from the Charlotte well. Average time from the well's spud date to first production (after
fracture stimulation) was 65 days for this summer's program, a
reduction of over 30% from the previous program. The Company's total
corporate production is approximately 1,257 boe/d net.
In addition to the substantial production increase, the Company has
entered into a sales agreement for marketing its associated gas from
its wells in the 12 Gage project and is working with a partner on a
pipeline water disposal system.
Corporate Presentation
Mountainview is also pleased to announce that it has posted an
updated corporate presentation on its website at www.mountainviewenergy.com.
About Mountainview
Mountainview Energy Ltd. is a public oil and gas company listed on the
TSX Venture Exchange, with a primary focus on the exploration,
production and development of the Bakken and Three Forks Shale in the
Williston Basin and the South Alberta Bakken.
Forward-Looking Statements
Certain information contained in this press release constitutes
forward-looking statements, including, without limitation, information
related to Mountainview's operational plans and the timing of
operations on certain wells, the impact of such operations on
production and other expectations with respect to production and
reserves expectations. By their nature, forward-looking statements are
subject to numerous risks and uncertainties, some of which are beyond
the Company's control including the impact of general economic
conditions, industry conditions, volatility of commodity prices,
currency fluctuations, environmental risks, competition from other
industry participants, the lack of availability of qualified service
providers, personnel or management, stock market volatility and ability
to access sufficient capital from internal and external sources,
inability to meet or continue to meet listing requirements, the
inability to obtain required consents, permits or approvals and the
risk that actual results will vary from the results forecasted and such
variations may be material. Readers are cautioned that the assumptions
used in the preparation of such information, although considered
reasonable at the time of preparation may prove to be imprecise and, as
such, undue reliance should not be placed on forward-looking
statements. The Company's actual results, performance or achievement
could differ materially from those expressed in or implied by, these
forward-looking statements and, accordingly, no assurance can be given
that any of the events anticipated by the forward-looking statements
will transpire or occur, or if any of them do so, what benefits the
Company will derive therefrom.
The forward-looking statements contained in this press release are made
as of the date of this press release. Mountainview disclaims any
intention and assumes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by applicable securities
laws. Additionally, Mountainview undertakes no obligation to comment on
the expectations of, or statements made by, third parties in respect of
the matters discussed above.
Initial Production Levels
Any references in this news release to initial, early and/or test or
production/performance rates and/or "flush" production rates are useful
in confirming the presence of hydrocarbons, however, such rates are not
determinative of the rates at which such wells will continue production
and decline thereafter. Additionally, such rates may also include
recovered "load oil" fluids used in well completion stimulation. While
encouraging, readers are cautioned not to place reliance on such rates
in calculating the aggregate production for the Company. The initial
production rate may be estimated based on other third party estimates
or limited data available at this time. The initial production is
generally estimated using boes. In all cases in this press release
initial production or test are not necessarily indicative of long-term
performance of the relevant well or fields or of ultimate recovery of
hydrocarbons.
Barrels of Oil Equivalent
Barrels of oil equivalent (boe) is calculated using the conversion
factor of 6 Mcf (thousand cubic feet) of natural gas being equivalent
to one barrel of oil (bbl). Boes may be misleading, particularly if
used in isolation. A boe conversion ratio of 6 Mcf: 1 Bbl is based on
an energy equivalency conversion method primarily applicable at the
burner tip and does not represent a value equivalency at the wellhead.
Given that the value ratio based on the current price of crude oil as
compared to natural gas is significantly different from the energy
equivalency ratio of ^ Mcf: 1 Bbl, utilizing a conversion on a 6:1
basis may be misleading as an indication of value.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE Mountainview Energy Ltd.
