CANADA ENERGY PARTNERS RETESTS SECOND HORIZONTAL MONTNEY WELL AT PEACE RIVER AT DOUBLE THE INITIAL RATE
March 21, 2011
VANCOUVER, BRITISH COLUMBIA - Canada Energy Partners Inc. ("Canada Energy" or the "Company") (TSX VENTURE: CE) is pleased to report the re-test results for the Portage 3-12 well, the second horizontal Montney well drilled at Peace River. The original completion and test of the 3-12 occurred in December 2010 with an end-of-test rate of 1.2 million cubic feet per day. The well was re-tested in March 2011 for 48 hours yielding a peak rate of 10 million cubic feet per day (“mmcf/d”), an average rate over the test period of 4.8 mmcf/d and a stabilized end rate of 2.4 mmcf/d.
The Portage 3-12 was re-tested as follow-up to the successful re-test of the Portage c-20-E, as announced by the Company on December 13, 2010. These two re-tests appear to confirm the benefits of ‘resting’ a well for an extended period after initial completion, after which flow capacity improves (see December 13, 2010 news release for technical detail).
In industry news, on March 18th Encana announced their acquisition of a 30% interest in the Kitimat LNG Project. The Company believes that this LNG Project will have a positive long-term impact on gas prices in Western Canada by the creation of additional markets and the consequential narrowing of West-to-East price differentials.
Canada Energy is an active oil and gas exploration and development company. The Company possesses a large concentrated land position in a high-impact, multi-zone, natural gas-bearing area in northeast British Columbia.
On behalf of the Board of Directors of
Canada Energy Partners Inc.
FOR FURTHER INFORMATION, PLEASE CONTACT:
CANADA ENERGY PARTNERS INC.
1500 – 885 West Georgia St.
Vancouver, BC V6C 3E8
Main Phone: (604) 909-1154 / Facsimile: (604) 488-0319
Attention: John Proust, Chairman
Direct Phone: (604) 696-9020
Attention: Ben Jones, President and CEO
Direct Phone: (225) 388-9900
The TSX Venture Exchange has neither approved or disapproved of the contents of this press release. Neither the 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 press release.
Forward Looking Statements: This news release contains forward looking statements relating to expected or anticipated flow rates, timing for drilling and completion operations, future events and operations, number of wells to be drilled, timing of projects and anticipated results that are forward looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the company’s capability to execute and implement future plans. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. There is no representation by the company that actual results achieved during the forecast period will be the same in whole or in part as that forecast.