| April 7, 2010 |
| Heritage Oil Announces Miran West-2 Appraisal Well to Be Drilled to Deeper Exploration Targets |
CALGARY, ALBERTA--(Marketwire - April 7, 2010) -
THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
Heritage Oil Plc (TSX:HOC)(LSE:HOIL), an independent upstream exploration and production company, issues an update on drilling of the Miran West-2 well in the Kurdistan Region of Iraq ("Kurdistan").
Highlights
-- The Miran West-2 well has intersected significant hydrocarbon-bearing
intervals over approximately 1,800 metres within Cretaceous formations
-- Three zones, determined from logging, will be tested when the deeper
target depth has been reached
-- Significant structures have been mapped within the previously undrilled
Jurassic and Triassic levels, substantially adding to the hydrocarbon
potential of the Miran structure
-- The Miran West-2 well will continue to be drilled to a revised target
depth of 4,600 metres to encounter these deeper exploration targets.
This is expected to take a further four to five months
-- 3D seismic programme to commence in the second half of 2010
The Miran West-2 appraisal well, which spudded on 26 November 2009, has reached a current depth of 2,627 metres and encountered hydrocarbon-bearing intervals totalling approximately 1,800 metres within Cretaceous formations. An extensive coring programme of approximately 250 metres was undertaken in the well.
This appraisal well is being drilled within a part of the Miran West structure where it now appears the fracture network is less well developed. This variability in fracture development is consistent with the carbonate reservoirs throughout the region. This resulted in no hydrocarbons being flow tested to surface from the interval within Miran West-2 equivalent to that successfully tested in Miran West-1. However, having undertaken wireline logging, three zones from within a deeper Cretaceous interval have been identified for testing once drilling operations have been completed.
The well will now be deepened to approximately 4,600 metres to explore further potential in the underlying Jurassic and Triassic structures. These targets have been identified from additional seismic data acquired in January 2010, after the Miran West-2 well had commenced drilling. These exploration targets have the potential to contain substantial volumes of additional hydrocarbons. It is expected that drilling will take a further four to five months, following which the well will be tested.
Heritage is planning to acquire 3D seismic data over the Miran Block to enable further appraisal drilling to encounter the fracture networks more efficiently. The Miran West-1 well has previously demonstrated that where open fractures are encountered in wells the reservoir will support potential production rates of approximately 10,000 bopd.
Future plans for the drilling of the Miran East-1 exploration well are progressing and the Company is looking to contract a rig for later this year.
Tony Buckingham, Chief Executive Officer, commented:
"The further hydrocarbon potential in the deeper targets in the Miran structure has the potential to increase resources significantly. We look forward to undertaking a testing programme when drilling has been completed to fully appraise the extensive hydrocarbon intervals."
Heritage Energy Middle East, a wholly-owned subsidiary of Heritage, is operator and holds a 75% interest in the Miran Block and Genel Energy International Limited the remaining 25%, although there are third party back-in rights. The Miran Block has an area of 1,015 square kilometres and is located west of the city of Suleimaniah.
Notes to Editors
-- Heritage is listed on the Main Market of the London Stock Exchange and
is a constituent of the FTSE 250 Index. The trading symbol is HOIL.
Heritage has a further listing on the Toronto Stock Exchange (TSX:HOC).
-- Heritage is an independent upstream exploration and production company
engaged in the exploration for, and the development, production and
acquisition of, oil and gas in its core areas of Africa, the Middle East
and Russia.
-- The Miran West structure is one of the larger structures in Kurdistan,
with an areal extent of approximately 200 square kilometres. The Miran
East structure has an estimated areal extent of approximately 130 square
kilometres.
-- Heritage has a producing property in Russia and exploration projects in
Uganda, the Kurdistan Region of Iraq, the Democratic Republic of Congo,
Malta, Pakistan, Tanzania and Mali.
-- All dollars are US$ unless otherwise stated.
-- For further information please refer to our website,
www.heritageoilplc.com
If you would prefer to receive press releases via email please contact Jeanny So (jeanny@chfir.com) and specify "Heritage press releases" in the subject line.
FORWARD-LOOKING INFORMATION:
Except for statements of historical fact, all statements in this news release - including, without limitation, statements regarding production estimates and future plans and objectives of Heritage - constitute forward-looking information that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties such as: risks relating to estimates of reserves and recoveries; production and operating cost assumptions; development risks and costs; the risk of commodity price fluctuations; political and regulatory risks; and other risks and uncertainties as disclosed under the heading "Risk Factors" in its Prospectus and elsewhere in Heritage documents filed from time-to-time with the London Stock Exchange and other regulatory authorities. Further, any forward-looking information is made only as of a certain date and the Company undertakes no obligation to update any forward-looking information or statements to reflect events or circumstances after the date on which such statement is made or reflect the occurrence of unanticipated events, except as may be required by applicable securities laws. New factors emerge from time to time, and it is not possible for management of the Company to predict all of these factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking information. | |