AUCAF -- ATP-299 Strikes Oil on ACOR's ORRI - Five (5) More Oil Wells Completed on The Tintaburra Oil Field with Estimated Oil Reserves of approximately 84 Million Barrels of Oil or approximately $4.6 Billion Dollars at Current Market Prices
Wednesday January 31, 9:11 am ET
CISCO, Texas--(BUSINESS WIRE)--Australian-Canadian Oil Royalties Ltd. (herein called ACOR) (OTCBB:AUCAF - News) reports that the JV partner of ATP-299 has announced that the Endeavour 40 oil well, the Endeavour 26 oil well, the Endeavour 34 oil well, the Endeavour 39 oil well and the Endeavour 17 oil well have all been cased and suspended as future oil production wells on ACOR's ORRI on ATP 299 located in the prolific Cooper/Eromanga Basin in Queensland Australia.
The Rig PDI-735 spudded the Endeavour 40 well on December 31st 2006. Oil shows were encountered in the Westbourne and Birkhead Formations. Wireline logs indicate a total of approximately 13 feet of net oil pay. The well has been cased and suspended as a future oil production well.
The Rig PDI-724 spudded the Endeavour 26 well on January 3rd. Good oil shows were encountered while drilling in the Birkhead Formation and evaluation of the wireline logs indicated approximately 26 feet of net oil pay. The well has been cased and suspended as a future oil production well.
The Rig PDI-735 spudded the Endeavour 34 on January 6th. Oil shows were encountered in the Birkhead Formation, and wireline logs indicate approximately 20 feet of net oil pay. The well has been cased and suspended as a future oil production well.
The Rig PDI-724 spudded the Endeavour 39 oil well on Jan 12th. Oil shows were encountered in the Birkhead Formation. Two 29 foot cores were cut out and recovered over the Birkhead reservoir interval. The well has been cased and suspended as a future oil production well. The cores will be used in reservoir studies.
The Rig PDI-735 spudded Endeavour 17 on January 16th. Good oil shows were encountered in the Birkhead Formation and wireline logs indicated approximately 16 feet of net oil pay. The well has been cased and suspended as a future oil production well.
Heavy rains in the Cooper/Eromanga Basin have curtailed current operations this week.
Results of the 2006 Drilling Program on ATP 299 on ACOR's ORRI:
The 2006 drilling results are considered to be a great success as the drilling program averaged an overall 75% success ratio. See below.
Total Number Number Completed Number Plugged
of wells drilled for Production and Abandoned
(Since Feb 2006) (Oil Production/Water Injection)
77 58 19
The proposed 2007 Drilling Program on ATP-299 on ACOR's ORRI:
The JV partner is so pleased with the 2006 drilling results that they have announced an additional 81 wells are planned to be drilled in 2007 on ATP-299 on ACOR's ORRI, although the program may vary depending on results.
The breakdown of the 81 wells planned to be drilled on ATP-299 are as follows:
Endeavour Oil Field - 22 Wells
Mulberry Oil Field - 20 Wells
Talgeberry Oil Field - 9 Wells
Gimboola Oil Field - 2 Wells
Chancett Oil Field - 1 Well
Tintaburra Oil Field - 27 wells
About The Tintaburra Oil Field:
The Tintaburra drilling program on ACOR's ORRI is the largest continuous oil development and exploration drilling program ever undertaken in Australia with two (2) modern rigs drilling and casing wells at around ten (10) days per well.
The wells to be drilled 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 1 well, located on ATP-299 was drilled in 2004, and the well came in with an initial potential of approximately 600 barrels of oil per day. ATP-299 is located in the prolific Cooper/Eromanga Basin.
The Mulberry, Endeavour, Talgeberry, Gimboola & Chancett Oil Fields are all 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 $4,600,000,000, 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.
Contact:
Australian-Canadian Oil Royalties Ltd.
Investor Relations, 254-442-2638
acor@classicnet.net
--------------------------------------------------------------------------------
Source: Australian-Canadian Oil Royalties Ltd.
