AUCAF -- NEWS OUT!! $50+ Million Dollar
$50+ Million Dollar / 70 Well Drilling Program Continues Its Success As Two (2) More Wells Strike Oil on ACOR's ORRI under ATP-299
Business Wire "US Press Releases "
CISCO, Texas--(BUSINESS WIRE)--Sept. 19, 2006--
Australian-Canadian Oil Royalties Ltd. (herein called ACOR) (OTCBB:AUCAF) reports that the JV partner of ATP-299 has announced the successful drilling of the Kooyong 1 well and the Endeavour 18 well. The Kooyong 1 well is a significant well, as it is a field extension of the Endeavour Oil Field. The Kooyong 1 well is located over 1.24 miles southwest of the Endeavour Oil Field on ACOR's ORRI.
Rig PDI-724 spudded Kooyong 1 on August 20th. The Kooyong 1 well is located approximately 1 mile southwest of Mimosa 1 well and 1.24 miles southwest of the Endeavour Oil Field. The Kooyong 1 well encountered 26 feet of net oil pay in the Birkhead reservoir. The well has been cased and suspended as a future oil production well.
Rig PDI-724 spudded the Endeavour 18 well on September 5th, good oil shows were encountered while drilling and evaluation of wire line logs indicated approximately 30 feet of net oil pay in the mid Birkhead zone. This well has been cased and suspended as a future oil production well.
Drilling Continues on ACOR's ORRI:
Rig PDI-724 was released to the Endeavour 14 location and is currently preparing to spud.
Rig PDI-735 spudded the Mulberry 25 development well, which spudded on September 10th. Current operations at Mulberry 25 are drilling ahead in 7 7/8" hole.
About The Tintaburra Oil Field:
The 70 well Tintaburra drilling program on ACOR's ORRI is the largest continuous oil development and exploration drilling program ever undertaken in SW Queensland with two (2) modern rigs drilling and casing wells at around ten (10) days per well. The JV partner of ATP-299 reports that planning for 2007 is already underway. The 2007 drilling program on ACOR's ORRI will be dependent on results through 2006, but may involve an additional 50 wells.
Mulberry 1 was drilled in 2004 and is producing oil at a rate of approximately 600 barrels of oil per day. The 70 wells to be drilled in 2006 are designed to achieve additional oil production and to test the extent of the oil pool in the Birkhead 11-77 sand discovered in the Mulberry 1 well.
The Mulberry-Gimboola-Endeavour Field is part of the Tintaburra Oil Field on ACOR's ORRI under ATP-299 and is estimated to contain around 84 million barrels of proved plus probable oil in place or approximately $5,036,640,000, at current market prices.
ACOR owns .0575 of 1% ORRI under ATP-299.
About Australian-Canadian Oil Royalties Ltd.:
ACOR management draws no cash salary. ACOR has NO LONG-TERM DEBT. ACOR's principal assets consist of 15,440,116 gross surface acres of overriding royalty interest and 8,561,007 gross acres of working interests, located Onshore Australia in the Cooper-Eromanga Basin and Offshore Australia in the Gippsland Basin in the Bass Strait.
ACOR is a publicly traded oil company trading on the NASDAQ OTC Bulletin Board Exchange under the trading symbol "AUCAF."
Summary:
Australia is a "hot spot" for oil & gas exploration and ACOR is positioned for possible "Company-Maker" discoveries. ACOR's working interests and overriding royalty interests are located offshore & onshore in the best producing basins.
Visit our website at www.aussieoil.com.
Disclaimer:
Except for historical information contained herein, the statements released are forward-looking statements that are made pursuant to the provision of the Private Securities Litigation Reform Act of 1955. Forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to differ materially from forecasted results. Such risks and uncertainties include, but are not limited to, market conditions, competitive factors, the ability to successfully complete additional financings and other risks.
Source: Australian-Canadian Oil Royalties Ltd.
