CALGARY, ALBERTA--(Marketwired - May 6, 2013) - Primary Petroleum Corporation (TSX VENTURE:PIE)(OTCQX:PETEF) ("Primary" or the "Company") is continuing geological and geophysical work in its efforts to attract a new JV Partner to continue its Phase II program targeting exploitation of the multi-zone potential of its Pondera-Teton prospect.
Current 3D-seismic interpretation suggests that the Phase I Madison discovery on the Spring Hill prospect is approximately one to two sections in ariel extent, and could contain oil reserves that initial internal estimates range from 250,000 barrels and up to 1,000,000 barrels (subject to independent engineering review). An up-hole completion of the Sun River (Madison) formation in the Spring Hill 14-34 well is being planned for Q3 this year. Based on the results from this completion, there is potential for additional horizontal wells to fully develop the Spring Hill field. Several additional Madison leads have been identified on the Primary JV lands and these potential locations will be assessed with additional 3D seismic and drilling.
Primary remains encouraged in the potential of the Upper Potlatch carbonate (Big Valley equivalent) zone that is present throughout a large portion of the lease block. This zone was present in all 9 wells drilled in the Phase I program, and all wells had oil shows. Further potential has been identified in the Nisku and Sunburst formations. Geological and seismic mapping has identified several prospective areas that will be exploration targets for the next phase of operations.
Primary currently released its FY 2013 Q3 financial statements confirming a very strong working capital surplus and no debt. The Company's JV lease block contains in excess of 360,000 gross and 306,000 net acres in a contiguous acreage block with annual lease retention costs of approximately $81,000 net to Primary. The Company remains committed to seeking out a new JV Partner to further exploit the potential that has been identified by the 2012 Phase I program which explored only 20% of the current lease block. An updated power-point presentation has been posted on our website.
About Primary Petroleum Corporation - Primary is a junior oil and gas company engaged in exploration and development activities in NW Montana and currently holds substantial land positions in both an unconventional and conventional oil play. The Company's mandate is to continue to acquire strategic opportunities in the Sedimentary Basins of the Western United States and Canada and seek out qualified industry partners to assist in the exploitation and development. To learn more about us, please visit our website at: www.primarypetroleum.com .
FORWARD LOOKING STATEMENTS DISCLAIMER: Certain statements in this document may contain "forward-looking statements" or "forward-looking information" within the meaning of applicable securities legislation. Such forward-looking statements or information include, without limitation, forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. The Company does not assume the obligation to update any forward-looking statement, except as required by applicable law.
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.
