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Terra Energy provides updates on operations, reserves evaluation and land values
TSX-V: TTR CALGARY, Oct. 31 /CNW/ - Cas H. Morel, President and Chief Executive Officer of Terra ...
About this update from Total Metals Corp
[{"type":"text","content":"\n\n\n\nTSX-V: TTR\n\n\nCALGARY, Oct. 31 /CNW/ - Cas H. Morel, President and Chief Executive\nOfficer of Terra Energy Corp. ("Terra Energy" or the "Company"), is pleased to\nprovide this update on operations, on the Company's reserves evaluation and\nalso on undeveloped land values. As stated in a prior media release, the\nCompany engaged Scotia Waterous to assist the Company in unlocking shareholder\nvalue. In connection with this process, the Company has had its oil and gas\nreserves re-evaluated as at September 30, 2008. Similarly, the Company has\nupdated its third party evaluation of undeveloped lands.\n\n\nOperational Summary\n-------------------\n\n\nYear to date, the Company has drilled 12 wells (10 net) in our Fort St.\nJohn core area, consisting of six wells at Sunrise, two at Red Creek, and one\neach at Parkland, Goose, Wilder and Boudreau.\n\n\nAt Sunrise, Terra Energy has drilled and completed 6 wells (4 net) this\nyear. To date, 6 of these wells have been completed in the Doig Sands\nformation with gas rates ranging from 0.5 mmcf/d to 2.8 mmcf/d. Each of these\nwells was drilled as a vertical well, and targeted 2-4 prospective formations.\nEach of these wells has been completed with 1-2 producing zones per well.\nTerra is currently waiting for licenses to drill 1-2 additional Sunrise\nlocations this year. These wells have confirmed the Company's geological model\nand mapping of the Doig Sands.\n\n\nThree of the Sunrise wells have been completed as gas wells in the Doig\nPhosphate formation. Production tests have ranged from 0.5 mmcf/d to\n0.75 mmcf/d from the completions in the Doig Phosphate in these vertical\nwells. The Doig Phosphate represents a new development opportunity for the\nCompany. Terra Energy has approximately one township of land which has been\nmapped as having potential in the Doig Phosphate. Detailed core analysis\nthrough the Phosphate and log analysis indicates porosity values ranging as\nhigh as 10% in a sand sequence (2.0 to 2.5 meters) sandwiched within the Doig\nPhosphate shale. It is speculated that this sand sequence creates a natural\nconduit for the production of gas from the sand itself, as well as the Doig\nPhosphate shales above and below. Terra Energy plans to drill a horizontal\nwell within this 2 meter sand sequence, with the intention of carrying out\nmulti-st...