Dejour gets preliminary drilling okay at Barcus Creek
Dejour Enterprises Ltd (2) (C:DJE) (A:DJEEF)
Shares Issued 60,965,481
Last Close 4/26/2007 $2.62(C) & $2.30(A)
Friday April 27, 6:46 pm ET
Mr. Robert Hodgkinson reports
DEJOUR RECEIVES APPROVED PERMITS TO DRILL IN PICEANCE BASIN
Dejour Enterprises Ltd. has received approved permits to drill (APDs) from the Meeker Bureau of Land Management office in Colorado for the initial two locations for the Barcus Creek prospect. This prospect is located in the company's Rio Blanco Deep project area, North Barcus Cr. 1-12 and 2-12. Final approvals from the Colorado State office are now expected within the next two weeks. Two additional approved APDs for additional locations at Barcus Creek are expected shortly.
Dejour expects drill pads at four separate drilling locations to be constructed on the Barcus Creek leases, with each location prepared to ultimately drill up to six individual wells. Drilling operations are planned to commence prior to the end of June, 2007, subject to final rig contract. The primary drill target is the lower 2,000 feet of the Mesa Verde group sandstones, the most prolific producing natural gas reservoir in this basin. Currently drill permits will allow for 40-acre spacing units on this prospect.
Dejour currently holds a 25-per-cent working interest in the 1,590-acre Barcus Creek prospect, and over 12,000 acres in the Rio Blanco Deep project area. This is part of almost 290,000 gross acres of oil and gas leases held by Dejour in the Piceance/Uinta basins of western Colorado and eastern Utah. Brownstone Ventures (TSX-V: BWN) also holds a 10-per-cent working interest in this prospect and the Retamco joint venture.
The Rio Blanco Deep project area of the Piceance basin has become the focus of concentrated drilling activity in the past 12 months.
Williams Co. has recently drilled two wells offsetting the company's Barcus Creek leases on leases held by Exxon to depths approximating 11,500 feet, and now has drilling operations proceeding on two more locations.
Bass Operating has completed three wells into pipe and is currently drilling a fourth well on locations to the southeast.
Conoco-Phillips is also active in this area with two drill rigs drilling full time on lands purchased by Encana, which approximate 200,000 acres in this project area.
This is the initial phase of an extended exploitation program planned by Dejour and its partners for the Piceance/Uinta properties. The August, 2005, Oil & Gas Investor states that the Piceance basin alone could contain over 300 trillion cubic feet of gas in place. As previously reported in Dejour's news in Stockwatch on Nov. 24, 2006, the undiscovered resource potentials associated with the Dejour-Brownstone-Retamco properties are postulated to exceed five trillion cubic feet of gas and two billion barrels of oil by independent engineering firms.
Dr. R. Mark Bustin, PhD, geology, is the qualified person for this project.
© 2007 Canjex Publishing Ltd.
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