Business
Compton Provides Mid-Year Reserve Update and Operations Review
CALGARY, Aug. 27 /CNW/ - Compton Petroleum Corporation (TSX - CMT, NYSE - CMZ) previously announc...
About this update from Cullinan Metals Corp
[{"type":"text","content":"\n\n\n\nCALGARY, Aug. 27 /CNW/ - Compton Petroleum Corporation (TSX - CMT, NYSE -\nCMZ) previously announced a process to seek a buyer for all of the outstanding\nshares of the Company. In conjunction with this process, the Company has\ncompleted an update to its December 31, 2007 Reserve Report as at August 1,\n2008 (Reserve Update). The parameters applied to the preparation of this\nReserve Update as well as the summaries thereof are presented in this News\nRelease. Additionally, this News Release includes June 30, 2008 proforma debt\ninformation reflecting certain transactions since that date and a review of\nrecent field activities.\n\n\nConcurrent with this News Release, marketing efforts to conclude a\ncorporate sale will commence. Interested parties are currently being invited\nto enter into a confidentiality agreement with the Company prior to accessing\nthe Data Room which will open on September 8, 2008.\n\n\nThe Company believes the information contained herein to be of material\ninterest to investors in the context of the corporate sale process.\n\n\nAUGUST 1, 2008 RESERVE UPDATE\n\n\nThe August 1, 2008 Reserve Update is based upon the December 31, 2007\nReserve Report and was mechanically updated to August 1, 2008. The mechanical\nupdate incorporated the production forecasts and operating costs used in the\nDecember 31, 2007 Reserve Report giving effect to price forecasts in effect as\nof April 1, 2008 and the proposed new Alberta Crown Royalty regime. The\nmechanical update was then edited for the following:\n\n\n- reserves assigned to wells drilled or recompleted to August 1, 2008\n- drilling locations offsetting newly drilled or recompleted wells were\n reclassified from possible and probable reserves to proved reserves\n or from possible to probable reserves based upon production or test\n data, most particularly for the impact of projected horizontal well\n locations and multi-stage fracs in lieu of projected vertical well\n locations; the production forecast was adjusted in some cases\n- reserves associated with new lands added through acquisitions, farm-\n ins, Crown or freehold purchases\n- production for the first seven months of 2008\n- reserves associated with the four properties sold in the third\n quarter of 2008 (as more fully described below)\n- reserves associated with any land expiries over the first...