Calgary, Alberta - Questerre Energy Corporation (“Questerre” or the “Company”) (TSX:QEC) and Transeuro Energy Corp. (“Transeuro”) (TSX-V:TSU) reported today on the successful test results from the A-2 well at the Beaver River Field in British Columbia (the “Field”).
An initial four-day production test for the A-2 well was completed on February 6, 2006. For the last 24 hours of the test, the well averaged 1.64 mmcf/d (273 barrels of oil equivalent) with an average of 18 bbls/mmcf of water on a 12.7 mm choke. The well continued to clean-up during the test with flowing tubing pressures rising from 2219 kPa to 2453 kPa and water rates dropping. At present, only about 10% of the estimated 400 cubic meters lost to the formation during the workover has been recovered.
The well will be placed on an extended production test later this month. Questerre and Transeuro are developing plans to tie-in the well to the existing gathering system. Subject to weather conditions and the final test results, it is anticipated that the A-2 well will be placed on-stream towards the end of the second quarter.
The second well in the four-well work program for the shallow Mattson sands, A-6, is scheduled to be stimulated later this month.
The Company also reported that Transeuro has recently acquired from Questerre a copy of the 3-D seismic data set over the Field. This seismic data will assist Transeuro in the joint evaluation of additional development drilling locations for the Mattson as well as the deeper Nahanni formation.
Michael Binnion, President and Chief Executive Officer of Questerre, commented, “We are very pleased with the preliminary results from this stimulation. Despite the extensive damage to the Mattson caused by drilling fluids and completion techniques in the early 1970s, the commerciality of the Mattson sands appears to have been validated. We estimate the Mattson sands hold a potential resource of over 100 Bcf. We are currently planning for the development of the Field with Transeuro”.
Hal Hemmerich, President and Chief Executive Officer of Transeuro, commented, “These results have confirmed and validated our theories around the economic viability of the Mattson sands. The access to the 3-D seismic data will allow us to develop the Field around two separate and highly prospective formations.”
Questerre Energy Corporation is a Calgary-based independent resource company actively engaged in the exploration, development and acquisition of high-impact exploration and development oil and gas projects in Canada.
For further information, please contact:
Michael R. Binnion, President
Tel: (403) 777-1185
Fax: (403) 777-1578
Email: info@questerre.com
Web: www.questerre.com