CALGARY, Alberta, Oct. 23, 2018 (GLOBE NEWSWIRE) --
THAILAND
Onshore Concession L53 (Pan Orient Energy (Siam) Ltd., in which Pan
Orient has 50.01% ownership)
Pan Orient Energy Corp. (“Pan Orient” or the “Company”) (POE – TSXV) is pleased to announce that the L53-DD1
exploration well encountered an interpreted, combined 26 meters of net oil pay within three separate sandstone reservoirs between a
true vertical depth of 960 to 1,125 meters. This interpretation was based on conventional open hole wire line logs and hydrocarbon
indications observed while drilling and confirmed with post drill pressure data and oil samples brought to surface from each of the
zones. The oil is estimated to be approximately 28 degree API gravity. The sandstone reservoirs are interpreted to be high quality
based on wireline log interpretation and high mobility observed while acquiring the pressure data and oil samples across each
zone.
Current plans are to immediately appraise the L53-DD1 discovery with the L53-DD2 well that will commence
drilling within the next five days targeting the deepest two of the three reservoirs, in a position substantially up dip of the
discovery well and be drilled from the same well pad. The L53-DD1 discovery will not commence production until the completion of
the L53-DD2 appraisal well due to limited well pad space. During the drilling of L53-DD2, Government of Thailand approval will be
sought for a 90 day production test of both wells.
L53-DD1 is a deviated exploration well drilled to a measured depth of 1,373 meters (1,323 meters true vertical
depth) located in the northern most portion of the Concession L53 “exploration reserve area”, approximately 28 kilometers north of
any existing producing wells within Concession L53 and approximately 5 kilometers south of the PTT Exploration and Production
Public Company Limited operated U-Thong oil field located in the adjacent concession.
The L53-DD1 exploration well will fulfill the US$600,000 minimum annual exploration expenditure that is required
to retain the approximately 214 square kilometers of “exploration reserve area”, which is all the remaining area of the original
Concession 53, outside of existing four production licenses.
The go forward Concession L53 activities will include the drilling of the L53-DD2 appraisal well, applications
for 90 day production tests for both L53-DD1 & L53-DD2, compilation and submission of a production license (“PL”) area application
that will encompass the discovery area and generation of the technical information to be provided to the Company’s reserve
evaluators for inclusion of the L53-DD1 discovery into the year-end 2018 independent reserves evaluation. Past experience has
typically seen PL government approval within three to five months of submission, at which time long term (not subject to 90 day
production test) production can commence. In addition, work is currently underway utilizing the L53-DD1 well results to better
define the hydrocarbon potential in the immediate vicinity of the L53-DD1 oil discovery that would form the basis for any potential
future exploration drilling in the area.
Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations
currently located onshore Thailand, Indonesia and in Western Canada.
This press release contains forward-looking information. Forward-looking information is generally
identifiable by the terminology used, such as "expect", "believe", "estimate", "should", "anticipate" and "potential" or other
similar wording. Forward-looking information in this press release includes references, express or implied, to drilling plans in
Thailand and regulatory approvals. By its very nature, the forward-looking information contained in this press
release requires Pan Orient and its management to make assumptions that may not materialize or that may not be accurate. In
addition, the forward-looking information is subject to known and unknown risks and uncertainties and other factors, some of which
are beyond the control of Pan Orient, which could cause actual results, expectations, achievements or performance to differ
materially. Although Pan Orient believes that the expectations reflected in its forward-looking information are reasonable, it can
give no assurances that those expectations will prove to be correct. Pan Orient undertakes no obligation to update publicly or
revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by
applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies
of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Pan Orient Energy Corp.
Jeff Chisholm, President and CEO (located in Bangkok, Thailand)
Email: jeff@panorient.ca
- or -
Bill Ostlund, Vice President Finance and CFO
Telephone: (403) 294-1770
