Business
Drilling Update
Drilling Update.
About this update from Cloudbreak Discovery Plc
[{"type":"text","content":"\n Cardinal Resources plc\n08 September 2006\n\n\nCARDINAL RESOURCES PLC ANNOUNCES DRILLING UPDATE\nLONDON - Friday, 8th September 2006\n\nCardinal Resources plc (AIM:CDL) ('Cardinal' or 'the Company'), an independent oil and gas production and exploration\ncompany operating in Ukraine, today provides an update of the drilling of well #3A on the Bilousivsko-Chornukhinska\n(BC) licence.\n\n\n\nThe BC #3 well was originally drilled by a Ukrainian state entity in 1957 and produced approximately 600,000 Mcf from\nDecember 1962 to October 1968 when the well was plugged due to water influx. An attempt to re-enter and work the well\nover was made by Rudis Drilling Company in 2003 but was unsuccessful. Cardinal acquired 100% of the BC licence as part\nof the Rudis Drilling Company acquisition in October 2005. Based on its review of the technical information, Cardinal\ndetermined the BC #3 well should be re-drilled.\n\n\n\nThe re-drill of the new well, BC #3A, commenced in June 2006. In early August the Visean-17 (V-17) formation was\nreached at 3,000 metres. Cardinal's evaluation showed non-commercial indications of gas in the V-17. The well was then\ndeepened to 3,300 metres and the evaluation of this lower interval shows the presence of three zones in the Visean\nsection (V-18, V-20 and V-21). No tests have been run to recover gases or liquids yet; but, based upon wireline log\nanalysis, these three zones appear to be hydrocarbon-bearing; and two of the zones are potentially capable of\ncommercial production. The well has been prepared for flow testing zones V-18 and V-20, which will take place over the\nnext 60 - 90 days.\n\n\n\nThe BC #3A well was drilled using a Ukrainian rig hybridized with modern drill bits and mud conditioning equipment.\nThe well was expected to take in excess of eight months to drill but was completed ahead of schedule, in just 76 days,\ndue to the use of modern equipment.\n\n\n\nCliff West, Executive Vice President and Chief Operating Officer of Cardinal (Member of the American Association of\nPetroleum Geologists - Certified Petroleum Geologist # 1563) is the qualified person that has reviewed and approved the\ntechnical information within this press announcement.\n\n\n\nGlossary of Terms\n\nMcf Thousand cubic feet of gas\n\n\n\n ###\n\n\n\nFor further information please contact:\n\n\n\nCardinal Resources Pa...