TSX Venture: AUL
VANCOUVER, June 7 /CNW/ - Austin Developments Corp. (the "Company") (TSX: V-AUL) and its joint venture partner, Pennant Energy Inc. ("Pennant") (TSX: V-PEN) are pleased to announce that the Pennant Austin Kaybob S No.1 well (Kaybob S No.1) was spud on June 6th 2007 at 11.30am. The drilling program is scheduled to continue 24 hours a day until the target depth of 3,000m is reached.
The Kaybob S No. 1 well has evolved as a step-out development drilling prospect. The Kaybob property offsets a well that produced from the same targeted formation at rates as high as 600 barrels of oil per day and had cumulative production of approximately 400,000 barrels of oil and 550 million cubic feet of gas. In choosing the optimal drilling location for the initial test well the following survey data was used:
- Existing 3D seismic survey data covering a portion of the Kaybob and
Bronson properties was purchased and reprocessed.
- Upon review of this data, a geochemical survey was initiated to
expand the data not covered by the original 3D seismic data mentioned
above.
- Upon interpretation of the geochemical survey results a new extensive
3D seismic survey was conducted to expand coverage of all the farm-in
acreage. Interpretation of this data identified the first drill
location (Kaybob S No.1 Well).
A short video link providing an illustrated background to the current drill program can be found on the Company's website at www.austindevelopments.com. The drill rig being used is the "Ensign No. 62 triple rig" and is used specifically to drill deep targets. The drilling program is anticipated to take 25 days to reach target depth of 3,000m.
The Qualified Person who holds responsibility for the accuracy of the technical information contained in this news release, is Pennants VP of Exploration, Mr. Jim Britton, P. Geol. P. Eng.
On behalf of the Board of Directors
Austin Developments Corp.
Per:
"Patrick Power"
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Patrick Power
President and Director
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