Transeuro Energy Corp. - BEAVER RIVER RESERVES REPORT by 24hgold

Mots clés associés : Canada | Ukraine |

Re: News Releases - Monday, February 06, 2012
Title: NEWS RELEASE -- BEAVER RIVER RESERVES REPORT

Vancouver, Canada: - Transeuro Energy Corp. ("Transeuro" or the "Company") is pleased to announce the results of its gas reserves and resources evaluation of the Beaver River field in British Columbia as of 31st Dec 2011. The Company holds a 100% working interest at Beaver River and is producing from 3 wells at approximately 3 mmcf/d.

The following table summarizes certain information contained in the independent reserves and resources evaluation report prepared by Fekete Associates Inc. ("Fekete"), an independent reservoir engineering firm based in Calgary, Canada. The report was prepared in accordance with definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook ("COGEH"). Additional reserve information as required under NI 51-101 will be included in the Company's Annual Information Form which will be filed on SEDAR by March 31, 2012.

Gas Reserves

Reserve Category	2011 Company Interest Reserves before Royalty
	Gas (BCF)	BOE (1) (MSTB)
Proved Developed Producing	1.74	0.29
Total Proved (P1)	12.0	2.0

Proved Plus Probable Developed Producing	2.52	0.42
Total Proved Plus Probable (P2)	14.16	2.24

Contingent Gas Resources

	2011 Company Interest Resource
	Low Estimate (BCF)	Best Estimate (BCF)	High Estimate (BCF)
Upper Besa River (2)	9	16	24
Lower Besa River (2)	47	68	95
Nahanni (A-8 Well)	6	10	14
Total Contingent Resource	62	94	133

Discovered Gas Resources

	2011 Company Interest Resource
	Low Estimate (BCF)	Best Estimate (BCF)	High Estimate (BCF)
Upper Besa River (3)	3,094	4,291	5,921
Lower Besa River (3)	3,339	4,095	5,006
Nahanni (A-8 Well)	1,500	2,000	2,500
Total Discovered Resource	7,933	10,386	13,427

Notes:

BOE's may be misleading, particularly if used in isolation. In accordance with NI 51-101, a BOE conversion ratio of 6 MCF:1 barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Contingent resources in these intervals underlying Company lands not assigned reserves.
Discovered resources in these intervals underlying Company lands not assigned reserves.

The Company's Chairman, Mr Aage Thoen, commented: "Our recent compressor upgrades and winterization programme have been successful in increasing production that makes the field economical and allow us to again state reserves where we could not in 2010. We are very pleased that an independent expert third party has supported our interpretation of the significant potential at Beaver River by preparing these large gas resource volumes. Development work at Beaver River is still at an early stage, but we have demonstrated up to 5 years of production from 3 wells and we now plan to apply this knowledge base to expand production and transfer resources to reserves over a wider area of the licenses and to a thicker section of the shales. In addition we intend to continue our development of the conventional Nahanni reservoir that sits under the shales, where we will apply modern completion techniques that we believe can replicate the high rate wells of the past and access the significant remaining gas in place."

Reserve & Resource Definitions

"Proved" reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

"Probable" reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves.

"Developed" reserves are those reserves that are expected to be recovered from existing wells and installed facilities or, if facilities have not been installed, that would involve a low expenditure (e.g. when compared to the cost of drilling a well) to put the reserves on production.

"Developed producing" reserves are those reserves that are expected to be recovered from completion intervals open at the time of the estimate. These reserves may be currently producing or, if shut-in, they must have previously been on production, and the date of resumption of production must be known with reasonable certainty.

"Developed non-producing" reserves are those reserves that either have not been on production, or have previously been on production, but are shut-in, and the date of resumption of production is unknown.

"Undeveloped" reserves are those reserves expected to be recovered from known accumulations where a significant expenditure (e.g. when compared to the cost of drilling a well) is required to render them capable of production. They must fully meet the requirements of the reserves classification (proved, probable, possible) to which they are assigned.

"Contingent" resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations using established technology or technology under development, but which are not currently considered to be commercially recoverable due to one or more contingencies.

"Discovered" petroleum initially-in-place (equivalent to discovered resources) is that quantity of petroleum that is estimated, as of a given date, to be contained in known accumulations prior to production.

The recovery and production estimates of the Company's contingent resources provided herein are only estimates and there is no guarantee that the estimated contingent resources will be recovered or produced. Actual contingent resources may be greater than or less the estimates provided here. There are certain contingencies which currently prevent the classification of these contingent resources as reserves. Information on these contingencies will be outlined in the Annual Information Form. There is no certainty that it will be commercially viable for the Company to produce any portion of the contingent resources at Beaver River.

The discovered resources (IGIP) evaluated in the report were determined from a range of possible values for multiple parameters. The probabilistic analysis performed by Fekete created cumulative probability distribution curves that defined a range of potential outcomes. As described in the Canadian Oil and Gas Evaluation Handbook ("COGEH"), the resulting probability distribution curves represent the low estimate, best estimate and high estimate, which correspond to the P90, P50 and P10 probability estimates of hydrocarbon volumes, respectively. The probability that the quantities of gas actually in place will equal or exceed the estimated amounts is 90 percent for the low estimate, 50 percent for the best estimate, and 10 percent for the high estimate.

The Contingent and Discovered Gas Resource unrisked volumes shown above are arithmetic sums of multiple estimates, which statistical principles indicate may be misleading as to the total volumes that actually may be present in-place or recovered. Readers should give attention to the individual estimates of each of the zones and appreciate the different likelihood of the volumes associated with each.

The Discovered Resources shown above were not classified into one of the subcategories of production, reserves, contingent resources or unrecoverable due to a lack of reservoir data, production tests and analogs. For the Discovered Shale Resources, stable gas flow rates need to be demonstrated in order to be classified into a more specific category. A recovery project has not yet been defined. There is no certainty that would be economically viable or technically feasible to produce any portion of the Discovered Resource.

ABOUT THE COMPANY
Transeuro is involved in the acquisition of petroleum and natural gas rights, the exploration for, and development and production of crude oil, condensate and natural gas. The Company owns 100% of a gas producing property located in British Columbia, Canada and has interest in gas exploration and appraisal developments in Crimea, Ukraine. In addition, the Company holds a back-in option to Eaglewood Energy Inc.'s exploration licenses in Papua New Guinea.

On behalf of the Board of Directors
Aage Thoen, Chairman

For further information contact:
Darren Moulds, IR, +1 403 705 1919
Karen Jenssen, IR, +47 91729787
http://www.transeuroenergy.com

Forward Looking Statements

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the Oslo Axess accepts responsibility for the adequacy or accuracy of this release. The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.

Forward looking statements are based upon assumptions and judgments with respect to the future including, but not limited to, anticipated recovery factors, future production rates, timing of certain projects, the results from operations, the outlook for commodity markets and capital markets, success of future evaluation and development activities, the successful application of technology, prevailing commodity prices, well development and operating performance, general economic and business conditions, weather and the regulatory and legal environment. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results achieved during the forecast period will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. See our Annual Information Form for a description of risks and uncertainties relevant to our business, including our exploration and development activities.

Copyright � 2012 TRANSEURO ENERGY CORP. (TSU) All rights reserved. For more information visit our website at http://www.transeuroenergy.com/ or send email to info@transeuroenergy.com ..
Message sent on Mon Feb 6, 2012 at 6:42:02 AM Pacific Time

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