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Vulcan Minerals Inc. - Alberta Update
Vulcan Minerals Inc. - Alberta Update.
About this update from Vulcan Minerals Inc.
[{"type":"text","content":"\n\n\n\n\nStock Symbol: TSX: VUL\nShares issued: 35,278,384\n\nST. JOHN'S, Aug. 8 /CNW/ - Vulcan Minerals Inc. (\"the Company\" \nTSX-V: VUL), the Company announces that the evaluation of its Medicine Hat gas\nproject is ongoing. The original plan to drill five new wells by August 8th\nhas been extended to allow further time for permitting surface access. The\nOperator, Enerhance Energy Inc advises that a drilling contractor and related\nservices have been sourced and it is expected that drilling will commence in\nthe next couple of weeks, as soon as surface access can be arranged for all\nproposed sites. In the meantime the Operator has re-entered two of the shut-in\nwells and has applied for a continuation of the natural gas lease. The two\nwells were subjected to a short term (24 hours) rate test using a 2\" critical\nflow prover with a 1/4\" orifice and flowed gas at calculated rates of 220 MCFD\n(thousand cubic feet per day) and 121 MCFD which are regarded as commercial\nrates for this area. Both wells also contain substantial volumes of frac fluid\nfrom the original stimulation by a previous operator. Gas flow rates are\nexpected to improve as this fluid is produced from the well bore. These wells\nmay be re-stimulated to further enhance flow rates.\nAs well it has been determined that three abandoned wells on the property\nthat originally tested a zone deeper than the current target zone may be\nre-entered. An evaluation of the feasibility of perforating and stimulating\nthe Medicine Hat \"A\" sands in these wells is being undertaken. Towards this\nend, one of the wells has been successfully re-entered and the Medicine Hat\n\"A\" sand was perforated and recorded gas flow. Pressure build-up tests are\ncurrently being under-taken. It is anticipated that the well will be a\ncommercial producer with hydraulic fracture stimulation. Re-entering these\nexisting wells should result in significant costs savings versus drilling new\nadjacent wells.\nAn evaluation report on the exploration potential of the Medicine Hat\nproject by Chapman Engineering Ltd (Chapman) of Calgary has been completed and\nis accessible on the Company's website\n(http://www.vulcanminerals.ca/updates.html). The Chapman Report concludes that\nthe total project has a best estimate of prospective resources of recoverable\ngas in place of 20.9 billion cubic feet...