Welcome!

News Feed Item

Bengal Energy Announces Largest Drilling Campaign in Company History and Operational Update

CALGARY, ALBERTA -- (Marketwired) -- 03/31/14 -- Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") is pleased to announce the commencement of the largest drilling campaign in the Company's history, with 15 wells planned to be drilled over the next 12 months. Bengal also provides details about this drilling program and an update on its ongoing operations in both Australia and India.

Operational Update

A summary of the drilling program and upcoming milestones in both Australia and India follows.

Cuisinier Drilling- Calendar 2014

Bengal is very pleased to announce its calendar 2014 Cuisinier drilling program (within Authority to Prospect "ATP" 752 - Barta Permit, 30.357% working interest ("WI")) commenced the week of March 25, 2014 with the spud of the Cuisinier-14 development well. Under the 2014 program, Bengal and its joint venture partners (the "JV") plan to drill up to 10 vertical wells in two distinct phases, including 8 development / appraisal wells and 2 exploration wells.


   Phase One - Expected to run from late March 2014 to June 2014, with 5
   wells expected to be drilled (4 development and 1 exploration) through
   that period. Each of these wells will be targeting 52 degrees API,
   ultra-light crude oil, with the locations having been selected based on
   an improved understanding of the regional geology and enhanced
   interpretation of 3D seismic. The Phase One drilling locations were
   selected based on criteria observed in the 6 best performing wells of a
   total of 14 drilled at Cuisinier by the JV to date. These 6 better
   performing wells have demonstrated an average gross initial production
   rate over 90 days ("IP90") of 360 barrels of oil per day (BOPD).

   The Company plans to drill one exploration well in the Company's
   Barta/Cuisinier area targeting both the Cuisinier-type productive Murta
   zone as well as the deeper Birkhead - Hutton zones. The Birkhead-Hutton
   zones are very prolific producers in other analog pools within the Cooper
   basin. There are a number of locations for this exploration well
   currently under final review. All of these prospects have targeted
   independent structural closures within the Cuisinier North 3D area
   immediately adjacent to the Cook and Cuisinier oil fields.

   Phase Two - Expected to commence in calendar mid-Q4, 2014, during which
   the JV will drill 4 development/appraisal wells and 1 exploration well at
   Cuisinier. The JV will benefit from results obtained in Phase One and
   will be able to use that information to high-grade locations for Phase
   Two with a view to enhancing productivity and expanding the boundaries of
   the pool. The exploration well is planned for the end of Phase Two,
   (calendar Q1 2015) and will test another Cuisinier North prospect which
   has been identified on 3D seismic just north of the producing Cook and
   Cuisinier fields. Due to the phased drilling approach, production impacts
   at Cuisinier will be staggered through the balance of calendar 2014. With
   success, Phase One wells are expected to be tied in during calendar Q3
   2014 and Phase Two wells are expected to come on-stream at the end of the
   fourth calendar quarter of 2014.

Bengal plans to announce the overall results of Phase One upon completion of that part of the drilling campaign.

Wompi

In the Wompi Permit (ATP 752 - WI 38%), the JV is planning to drill one exploration well in calendar Q3 2014 targeting Birkhead, Westbourne and Adori formations known to produce in the offsetting Bowen Field located immediately north of the proposed location. Wompi offers Bengal moderate risk exploration in a well-established, oil producing fairway featuring multi-zone potential.

Tookoonooka

In Bengal's Tookoonooka area (ATP 732), partner Beach Energy concluded the acquisition of 300 km2 of new 3D seismic across the block in February, which was fully funded by Beach under the terms of the Joint Venture Agreement ("JVA") with Bengal. The JVA terms provide for Beach to expend AUD$11.5 million to acquire the 3D seismic and drill up to two wells to earn a 50% interest in the Tookoonooka block. The first exploration well was drilled in late 2013 but was not commercial. The seismic data will now undergo processing with interpretation to follow. The new 3D seismic will be utilized to aid Beach and Bengal in selecting the location for the next exploration well to be funded by Beach under the terms of the JVA. This seismic will also be used in evaluating a number of future prospects for a potential series of exploration wells that are expected to be drilled at Tookoonooka under the JVA.

Onshore India

In Bengal's onshore India block situated within the Cauvery Basin (CY-ONN-2005/1 - 30% WI), the Company continues to coordinate with its partners, Gas Authority of India Ltd. ("GAIL") and Gujarat State Petroleum Corporation ("GSPC") for the drilling of three exploration wells. The wells are expected to be drilled by GAIL, the operator, and the first is expected to commence by mid Q3 calendar 2014. The delays that the Company has experienced with respect to this project have stemmed from regulatory and permitting issues, which are aggressively being addressed by the operator. Bengal continues to work with its partners and the relevant government bodies to advance drilling.

Funding of Capital Program

Bengal expects to fund its share of the costs under Phase One of its Cuisinier drilling campaign and the exploration programs at Tookoonooka and onshore India through sources such as current cash on hand, ongoing cash flow and its ability to expand on existing financing arrangements if necessary. Bengal is evaluating a number of lending options with a variety of Canadian-based and international lenders to finance the remainder of its capital programs and provide flexibility respecting future development across all of its permits, at the lowest possible cost of capital.

"The Bengal team has worked extremely hard with its partners to develop a 2014 drilling program that could potentially have the largest impact on the Company in its history. We are very pleased to commence this program which anticipates the drilling of 15 new wells across 4 different onshore permits," said Chayan Chakrabarty, President and CEO of Bengal. "Bengal is very well positioned to provide our shareholders with an exciting, catalyst-rich period over the next 10 -12 months."

Bengal also advises that an updated presentation will be posted on the Company's website no later than April 4th, which contains additional information pertaining to the calendar 2014 drilling program.

About Bengal

Bengal Energy Ltd. (TSX: BNG) is an international oil and gas exploration and production company with producing and prospective light oil-weighted assets in Australia and India. Bengal offers exposure to lower risk, current production and cash flow, combined with longer-term high, potential impact exploration projects. The Company's strategy is to achieve per share growth in cash flow, production and reserves while establishing an attractive portfolio of future drilling and exploration opportunities. Additional information is available on our website at www.bengalenergy.ca.

Forward-Looking Statements

This news release contains certain forward-looking statements or information ("forward-looking statements") as defined by applicable securities laws 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 use of any of the words "plan", "expect", "prospective", "project", "intend", "believe", "should", "anticipate", "estimate", or other similar words or statements that certain events "may" or "will" occur are intended to identify forward-looking statements. 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 economic conditions in North America, Australia, India and globally; industry conditions; changes in laws and regulations including, without limitation, the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; increased competition; the 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; results of exploration and testing activities; and the ability to obtain required approvals and extensions 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. As such, undue reliance should not be placed on forward-looking statements. Forward-looking statements contained herein include, but are not limited to, statements regarding: the carrying out of a 10 well drilling program by the Company at Cuisinier in 2014 in two phases, including the timing to drill, tie-in and put on production the up to 10 wells to be drilled and the timing to announce results of such drilling, the timing to drill one exploration well on the Wompi permit, the timing for the Company to interpret seismic and evaluate prospective drilling locations in the Tookoonooka area, the timing for the drilling of up to three exploration wells onshore India, the funding by the Company of its share of the costs of the first phase of drilling at Cuisinier out of ongoing cash flow and the timing for the Company to enter into a credit facility. 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, risks associated with: the failure to obtain required regulatory approvals or extensions; failure to satisfy the conditions under farm-in and joint venture agreements; failure to secure required equipment and personnel; changes in general global economic conditions including, without limitations, the economic conditions in North America, Australia, India; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; the results of exploration and development drilling and related activities; the ability to access sufficient capital from internal and external sources; and stock market volatility. Readers are encouraged to review the material risks discussed in Bengal's Annual Information Form under the heading "Risk Factors" and in Bengal's annual MD&A under the heading "Risk Factors". The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. 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 require pursuant to applicable securities laws.

Barrels of Oil Equivalent

When converting natural gas to equivalent barrels of oil, Bengal uses the widely recognized standard of 6 thousand cubic feet (mcf) to one barrel of oil (boe). However, a boe may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
"This week we're really focusing on scalability, asset preservation and how do you back up to the cloud and in the cloud with object storage, which is really a new way of attacking dealing with your file, your blocked data, where you put it and how you access it," stated Jeff Greenwald, Senior Director of Market Development at HGST, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
SYS-CON Events announced today that Catchpoint Systems, Inc., a provider of innovative web and infrastructure monitoring solutions, has been named “Silver Sponsor” of SYS-CON's DevOps Summit at 18th Cloud Expo New York, which will take place June 7-9, 2016, at the Javits Center in New York City, NY. Catchpoint is a leading Digital Performance Analytics company that provides unparalleled insight into customer-critical services to help consistently deliver an amazing customer experience. Designed ...
WebRTC services have already permeated corporate communications in the form of videoconferencing solutions. However, WebRTC has the potential of going beyond and catalyzing a new class of services providing more than calls with capabilities such as mass-scale real-time media broadcasting, enriched and augmented video, person-to-machine and machine-to-machine communications. In his session at @ThingsExpo, Luis Lopez, CEO of Kurento, introduced the technologies required for implementing these idea...
"A lot of times people will come to us and have a very diverse set of requirements or very customized need and we'll help them to implement it in a fashion that you can't just buy off of the shelf," explained Nick Rose, CTO of Enzu, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Buzzword alert: Microservices and IoT at a DevOps conference? What could possibly go wrong? In this Power Panel at DevOps Summit, moderated by Jason Bloomberg, the leading expert on architecting agility for the enterprise and president of Intellyx, panelists peeled away the buzz and discuss the important architectural principles behind implementing IoT solutions for the enterprise. As remote IoT devices and sensors become increasingly intelligent, they become part of our distributed cloud enviro...
Containers have changed the mind of IT in DevOps. They enable developers to work with dev, test, stage and production environments identically. Containers provide the right abstraction for microservices and many cloud platforms have integrated them into deployment pipelines. DevOps and containers together help companies achieve their business goals faster and more effectively. In his session at DevOps Summit, Ruslan Synytsky, CEO and Co-founder of Jelastic, reviewed the current landscape of Dev...
The WebRTC Summit New York, to be held June 6-8, 2017, at the Javits Center in New York City, NY, announces that its Call for Papers is now open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 20th International Cloud Expo and @ThingsExpo. WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web co...
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that Enzu will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Enzu’s mission is to be the leading provider of enterprise cloud solutions worldwide. Enzu enables online businesses to use its IT infrastructure to their competitive ad...
"Plutora provides release and testing environment capabilities to the enterprise," explained Dalibor Siroky, Director and Co-founder of Plutora, in this SYS-CON.tv interview at @DevOpsSummit, held June 9-11, 2015, at the Javits Center in New York City.
DevOps tends to focus on the relationship between Dev and Ops, putting an emphasis on the ops and application infrastructure. But that’s changing with microservices architectures. In her session at DevOps Summit, Lori MacVittie, Evangelist for F5 Networks, will focus on how microservices are changing the underlying architectures needed to scale, secure and deliver applications based on highly distributed (micro) services and why that means an expansion into “the network” for DevOps.
"We are an all-flash array storage provider but our focus has been on VM-aware storage specifically for virtualized applications," stated Dhiraj Sehgal of Tintri in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Choosing the right cloud for your workloads is a balancing act that can cost your organization time, money and aggravation - unless you get it right the first time. Economics, speed, performance, accessibility, administrative needs and security all play a vital role in dictating your approach to the cloud. Without knowing the right questions to ask, you could wind up paying for capacity you'll never need or underestimating the resources required to run your applications.