Vancouver, British Columbia--(Newsfile Corp. - December 2, 2024) - New Zealand Energy Corp. (TSXV: NZ) ("NZEC" or the "Company") is pleased to provide the preliminary results of the Tariki-5A gas development well.
Management of NZEC are delighted to report that the Tariki-5A well intersected the target Tariki sands on November 29, 2024. The sands are interpreted by management of the Company to be gas bearing from shows, cutting samples and from preliminary evaluation of the wireline logging carried out over the weekend.
Tariki-5A is currently being completed with 3.5" production tubing. Perforating and production testing are expected to be carried out the week commencing December 16, 2024, with commissioning of facilities for gas processing also planned for later that week, following which gas sales can start.
The gas column is evaluated to be at least 8 meters out of a gross Tariki sand of ~60m. An additional column of a further 8 to 12m may be confirmed upon completion of log analyses, including, among other things, correction for filtrate invasion. Management of NZEC expects the reservoir to be able to deliver at least 10 Terajoules/Day (9 MMSCF/Day), which is sufficient to exceed the requirements of the Gas Sales Agreement between the Tariki Joint Venture and Genesis Energy.
With respect to the well results, CEO Mr. Adams commented: "The Tariki-5A gas development well has confirmed there is significant additional producible gas remaining in the Tariki sands higher in structure than was previously accessed. The Gas-Water-Contact appears to be deeper than expected from the offset well Tariki-1A, and this has a positive impact on the gas volume remaining in place. While these results are preliminary, the deeper Gas-Water-Contact means they are better than prognosed. Work to progress use of the Tariki Field as a gas storage facility will also commence immediately."
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. In particular, this news release contains forward-looking information regarding: the business of the Company, including future plans and objectives, the gas sales agreement, and the Tariki-5A well. There can be no assurance that such forward-looking information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such forward-looking information. This forward-looking information reflects NZEC's current beliefs and is based on information currently available to NZEC and on assumptions NZEC believes are reasonable. These assumptions include, but are not limited to: the underlying value of NZEC and its Common Shares, TSX Venture Exchange approval of the Offering; NZEC's current and initial understanding and analysis of its projects and the development required for such projects; the costs of NZEC's projects; NZEC's general and administrative costs remaining constant; and the market acceptance of NZEC's business strategy. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of NZEC to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: general business, economic, competitive, political and social uncertainties; industry condition; volatility of commodity prices; imprecision of reserve estimates; environmental risks; operational risks in exploration and development; general capital market conditions and market prices for securities; delay or failure to receive board or regulatory approvals; the actual results of future operations; competition; changes in legislation, including environmental legislation, affecting NZEC; the timing and availability of external financing on acceptable terms; and lack of qualified, skilled labour or loss of key individuals. A description of additional risk factors that may cause actual results to differ materially from forward-looking information can be found in NZEC's disclosure documents on the SEDAR+ website at www.sedarplus.ca. Although NZEC has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned that the foregoing list of factors is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking information as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Forward-looking information contained in this news release is expressly qualified by this cautionary statement. The forward-looking information contained in this news release represents the expectations of NZEC as of the date of this news release and, accordingly, is subject to change after such date. However, NZEC expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities law.
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