CALGARY, Aug. 17, 2011 /CNW/ - Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") is pleased to announce the following additions to its executive management and update to its production, drilling and seismic operations.
Executive Management
The Company is pleased to announce that the following key appointments are being made to strengthen the Bengal executive team as the Company advances its operated activities on its 100% owned exploration permits in Australia and India:
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Mr. Garrett Wilson, P.Eng. has been appointed Vice President,
Engineering and Operations. Mr. Wilson, with a B.Sc. in Chemical
Engineering from the University of Calgary and 15 years of industry
experience, most recently held technical team management positions with
a major Canadian independent in the fields of production and
development engineering. Mr. Wilson will play a lead role in the
immediate advancement of the Company's operated activities particularly
in the large Authority to Prospect ("ATP") 732 Tookoonooka Block, as
well as the Cuisinier project in the ATP 752 Barta Block, both located
in Queensland, Australia.
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Dr. John Jackson has been appointed Australia Country Advisor. Dr.
Jackson, an independent consultant and advisor, is a widely respected
oil and gas professional with 40 years experience across Europe, Africa
and Australia. Grounded in geology, hydrocarbon exploration and
production, Dr. Jackson's experience includes commercial and strategic
corporate development, and technical and executive management in a
range of organizations with exploration and production activities in
Australia, the Netherlands, UK and Africa. Dr. Jackson is based in
Brisbane, Australia.
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Mr. J.L. Narasimham, an independent consultant, has been appointed
Advisor of Indian Operations. Mr. Narasimham, with Master's degrees in
both Petroleum Engineering and Geology, has over 30 years of extensive
experience with India's largest government-owned exploration and
production company, Oil and Natural Gas Corporation. Mr. Narasimham's
experience has been in areas including production operations, reservoir
engineering, and exploration management; he has significantly
contributed towards continuous development of Indian offshore fields
such as Mumbai High, Heera, Neelam and B-173A. Mr. Narasimham is based
in Mumbai, India.
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Mr. Richard Edgar, P. Geol. has been appointed Executive Vice President.
Mr. Edgar is a highly respected oil and gas professional who has been
active in the petroleum industry in Canada and internationally for
nearly 40 years. Mr. Edgar was formerly chairman of the board of
Shelton Canada Corp., President of Energy North Inc., President of
Avery Resources Inc. and currently serves on the boards of Bengal
Energy Inc., Poplar Creek Resources Inc., Passport Energy Ltd. and
Shelton Petroleum AB. Mr. Edgar is a member of the Petroleum
Exploration Society of Great Britain, the Petroleum Exploration Society
of Australia, the Canadian Society of Professional Geologists ("CSPG")
and the Association of Professional Engineers, Geologists and
Geophysicists of Alberta ("APEGGA"). He holds a BSc. in Geology from
the University of Alberta.
- Mr. Gordon MacMahon, P. Geol. has been appointed Vice President of Exploration. Mr. MacMahon is a Professional Geologist whose career as an explorationist has spanned over 30 years in environments ranging from large companies, consulting and small companies. His depth of experience has been gained through both executive and geotechnical roles in operating oil and gas companies as well as capital markets exposure. His experience with conventional and non conventional reservoirs will be applicable to Bengal projects in Australia and India. He is a member of a number of Professional Associations including the Canadian Society of Professional Geologists ("CSPG"), the Association of Professional Engineers, Geologists and Geophysicists of Alberta ("APEGGA"), the American Association of Petroleum Geologists ("AAPG"), and the Geological Society of America ("GSA").
Bengal Energy Ltd. also announces that James Mott, Vice President Exploration, has resigned from the company to pursue other opportunities. Bengal thanks Dr. Mott for his contributions, and wishes him all the best in the future. The Company currently maintains a large inventory of high impact exploration opportunities and has developed an aggressive plan to prove up these exciting prospects.
Drilling Seismic Operations
The Company is expecting an active drilling and seismic acquisition program over the balance of the year.
Australia Offshore
AC/P 24
The Kingtree well, to be located on AC/P24 in the Ashmore Cartier area
off the north coast of Australia in the Timor Sea, is expected to be
drilled in mid September. This well is being drilled on a robust fault
bounded structure targeting Triassic sediments. The well will be
drilled using a semisubmersible rig and is located approximately 300
kilometers offshore in 105 meters of water depth. Bengal's
participating interest is 10% and the well is scheduled to take 17 days
to drill and evaluate and will be plugged and abandoned when evaluation
is complete. Bengal cost for the well is estimated at $1.4 million.
This drilling location is inboard to the east of the original Katandra
oil discovery.
AC/P 47
AC/P47 is also located in the Ashmore Cartier area off the north coast
of Australia in the Timor Sea. Previously announced independent
resource estimates for this large (861,000 acre) 100% owned tenement
indicate this to be a very prospective exploration permit. At present
the Company is designing and planning for a 750 square km. 3D program
that is anticipated later in 2011.
Australia Onshore
ATP 752 Wompi Block
In August, the Sampdoria well will be drilled onshore in the Cooper
Basin on the Wompi Block (southern portion of ATP 752). This is a free
carried well to casing point for the Company through a wholly owned
subsidiary and is targeting oil accumulations in the Namur, Mid Namur
and Basal Birkhead formations. Post drill, the Company's working
interest will be 19.5%. The Company has committed to drill one further
well to increase its Working Interest in the Wompi Block and the
Sampdoria well to 30%.
ATP 752 Barta Block
In the Barta Block (northern portion of ATP 752), the previously
reported Cuisinier 2 and Cuisinier 3 wells have been commissioned for
production with initial deliverability testing underway and startup
expected for both before the end of August.
The run times at the Cuisinier 1 discovery well recovered from the earlier downtime issues associated with severe flooding, and saw the reliability reach 94% for the month of June, leading to a monthly average production of 413 bopd gross on a producing-day basis (103 bopd net to Bengal).
Tie-in options are currently being reviewed by the Operator for the previously reported Barta North 1 well. This well was equipped as a Murta oil producer and sits approximately 4 km from the infrastructure associated with the Cuisinier 1, 2 and 3 wells.
The Company holds a 25% interest in both the Cuisinier discovery and the 360,000 acre Barta sub-block ("Barta Block") portion of exploration permit Authority to Prospect 752P ("ATP 752P"). Numerous seismic anomalies have been defined and further appraisal and step out drilling is in the planning stage.
ATP 732 Tookoonooka Block
In the large (654,000 acre) 100% owned Permit ATP 732 located in the
Cooper Basin, preparations are currently underway for a 456 km 2D and
associated 51 sq km 3D seismic program. This seismic acquisition
program is expected to take place in October of this year and is
designed to image both Permian subcrop anomalies as well as shallower
oil targets. In addition, an airborne geophysical survey is being
contracted to be carried out in October over the Tookanooka Astrobleme
(meteorite impact crater) with a view to imaging the potential of oil
and or natural gas reservoirs similar to those seen in other features
of this nature in sedimentary basins in many other parts of the world.
Results and interpretation from both the 2D and 3D seismic programs as well as airborne geophysics are expected early in calendar Q1, 2012, which should allow the design of the drill program for the initial 100% well in ATP 732 to be finalized shortly thereafter. Pending drilling rig availability, it is expected to spud the initial exploration well in Q2, 2012.
Marketing options for any future commercial oil and gas production from this 100% Company-owned permit have recently been investigated through an independent specialist consultant. The results of the study are currently being reviewed. These results, along with the confirmation of initial drill locations, will be utilized in the scoping and final engineering design of any production facilities and associated infrastructure that may be required to bring any commercial production to appropriate markets.
India - Offshore
Evaluation work is continuing on the large (340,000 acre) 100% owned and operated Block CY-OSN-2009/1 in India's offshore Cauvery basin. The first year work program includes reprocessing all available seismic records and acquiring certain 2D and 3D regional surveys previously recorded by other operators. Additional pre-existing seismic data has been located and is being integrated with the existing seismic data set. The acquisition of additional seismic data during the balance of 2011 and Q1, 2012 is designed to accelerate the timing of drilling an exploration well.
India - Onshore
On Bengal's 30% working interest, 233,000 gross acre Block CY-ONN-2005/1 located in onshore Cauvery Basin, the partner group consisting of Gas Authority of India Ltd. (GAIL), Gujarat State Petroleum Corporation (GSPC) and Bengal have agreed to acquire a large 3D seismic program of approximately 600 sq km. The seismic acquisition contractor has been identified and this data is expected to be acquired after the monsoon season in calendar late 2011/early 2012. As well, airborne magnetometry work will be done over the permit in association with the seismic acquisition program. The increased seismic acquisition and airborne magnetometry work is intended to help the joint venture accelerate the drilling of exploration wells on the permit.
Commenting on the recent Executive Management additions and operational progress, Chayan Chakrabarty, President and Chief Executive Officer of Bengal said, "Bengal's ability to execute our go forward strategy to become an active operator and participant in both Australia and India is enhanced by the addition of these new, highly qualified members of the executive team and gives us an increased skill set to draw upon. Results from Cuisinier appraisal drilling have to date met with Bengal's expectations and in addition to the continuing appraisal and development efforts to be conducted, give a renewed impetus to our ramping up further exploration and development programs."
Bengal has approximately $36 million in positive working capital to fund its capital program.
About Bengal
Bengal Energy Ltd. is an international junior oil and gas exploration
and production company with assets in Australia and India. The Company
is committed to growing shareholder value through international
exploration, production and acquisitions. Bengal trades on the TSX
under the symbol BNG. Additional information is available at www.bengalenergy.ca.
Forward-Looking Statements
This news release contains certain forward-looking statements that
involve substantial known and unknown risks and uncertainties, many of
which are beyond Bengal's control. These statements relate to future
events or our future performance. All statements other than statements
of historical fact may be forward looking statements. The
forward-looking statements contained herein include, without
limitation, statements regarding the drilling, completion and results
of future wells, Bengal's exploration programs and growth strategies,
current and future seismic programs, targeted zones, and future
marketing strategies. The projections, estimates and beliefs contained
in such forward looking statements are based on management's estimates,
opinions, and assumptions at the time the statements were made,
including assumptions relating to: the impact of general global
economic conditions in Canada, Australia, India and in the United
States, industry conditions, changes in laws and regulations including
the adoption of new environmental laws and regulations and changes in
how they are interpreted and enforced, increased competition, the lack
of availability of qualified operating or management personnel,
fluctuations in commodity prices, foreign exchange or interest rates,
stock market volatility and fluctuations in market valuations of
companies with respect to announced transactions and the final
valuations thereof, and the ability to obtain required approvals from
regulatory authorities. We believe the expectations reflected in those
forward-looking statements are reasonable, but no assurances can be
given that any of the events anticipated by the forward-looking
statements will transpire or occur, or if any of them do so, what
benefits that Bengal will derive from them. The forward looking
statements contained herein are subject to numerous known and unknown
risks and uncertainties that may cause Bengal's actual financial
results, performance or achievement in future periods to differ
materially from those expressed in, or implied by, these
forward-looking statements, including but not limited to those material
risks discussed in Bengal's Annual Information Form under the heading
"Risk Factors" and in Bengal's annual MDA under the heading "Risk
Factors". The forward-looking statements contained in this news release
speak only as of the date hereof and Bengal does not assume any
obligation to publicly update or revise them to reflect new events or
circumstances, except as may be required pursuant to applicable
securities laws.