Welcome!

News Feed Item

Mart Resources, Inc.: Operations and Production Update

CALGARY, ALBERTA -- (Marketwired) -- 07/16/14 --


--  Umusadege field production averaged 6,793 barrels of oil per day
    ("bopd") during June 2014 based on calendar days; average field
    production based on production days was 10,871 bopd during June 2014.

--  Umusadege field net deliveries into the export pipeline were
    approximately 203,786 barrels of oil ("bbls") in June 2014 before
    pipeline losses and approximately 157,433 bbls after deducting pipeline
    and export facility losses estimated by Mart for June 2014 based upon
    the 12-month rolling average rate of actual pipeline and export facility
    losses.

--  Pipeline and export facility losses reported and allocated to Mart and
    its co-venturers for May 2014 were 73,237 bbls, or 22.7% of total crude
    oil deliveries into the export pipeline.

--  Aggregate downtime during June 2014 totaled approximately 11.3 days.

--  Umugini pipeline construction is essentially complete and the upstream
    and downstream tie-ins are in progress.

--  The UMU-3 side-track horizontal well was completed and flow testing from
    the VI sand is scheduled to begin shortly. The rig is being moved to the
    UMU-4 location for a horizontal side-track well targeting a completion
    in the VII sand.

Mart Resources, Inc. (TSX: MMT) ("Mart" or the "Company") and its co-venturers, Midwestern Oil and Gas Company Plc. ("Midwestern", Operator of the Umusadege field) and SunTrust Oil Company Limited are providing the following updates on Umusadege field production for June 2014 and other operations.

June 2014 Production Update

Umusadege field production during June 2014 averaged 6,793 bopd. Aggregate Umusadege field downtime during June 2014 was approximately 11.3 days due to (1) a shutdown of the Nigerian Agip Oil Company Limited ("NAOC") export pipeline resulting from a lack of storage capacity at the Brass River export terminal due to export shipment delays, and (2) other operational interruptions resulting from general pipeline repairs and maintenance. There were two full down days during the month. The average field production based on producing days was 10,871 bopd in June 2014.

Total net crude oil deliveries into the NAOC export pipeline from the Umusadege field for June 2014 were approximately 203,786 bbls before pipeline losses. Based upon the 12-month rolling average rate of pipeline and export facility losses from June 2013 to May 2014 of 22.75%, Mart estimates pipeline and export facility losses for June 2014 will be approximately 46,353 bbls. Using this estimated pipeline and export facility loss volume, Mart estimates that the total net crude deliveries into the NAOC export pipeline from the Umusadege field for June 2014 less estimated pipeline losses will be 157,433 bbls.

Pipeline and export facility losses reported by NAOC and allocated to Mart and its co-venturers for May 2014 were 73,237 bbls, or 22.7% of total crude oil deliveries into the export pipeline for that month. Pipeline and export facility losses allocated to Mart and its co-venturers from January to May 2014 have averaged 16.6% of total crude oil deliveries into the export pipeline for 2014.

As previously announced, total net crude oil deliveries into the export pipeline from the Umusadege field for May 2014 were approximately 322,086 bbls. Accordingly, after deducting the actual pipeline and export facility losses allocated for May 2014, the total net crude oil deliveries less losses for May 2014 were 248,849 bbls. Mart previously estimated pipeline and export facility losses for May 2014 to be approximately 73,971 bbls, based upon the 12-month rolling average rate of pipeline and export facility losses of 22.97% between May 2013 and April 2014. June 2014 pipeline and export facility losses have not yet been reported by NAOC.

Umugini Pipeline Update

The Umugini pipeline construction and tie-in are nearing completion. Pressure testing of the 23- and 28-kilometer sections of the pipeline is now complete. Delays in obtaining work permits and specialty pipeline equipment have been resolved. Controls, tanks, pumps and pig launcher facilities (for cleaning the line) are being installed on the upstream end of the pipeline, while the measurement and pig receiver facilities are being installed on the downstream end. The final road crossing to the tie-in manifold is complete. Planning for the commissioning, start-up and operation of the pipeline including finalization of the Crude Handling Agreement is ongoing. Midwestern, which is managing the construction and operation of the Umugini pipeline, is targeting a completion date in late July or August 2014.

Umusadege Drilling Update

Drilling operations have been completed on the UMU-3 side-track horizontal well. Total depth of the UMU-3 well is 8,549 feet and a sand screen completion has been installed in the 787 foot lateral section in the VI sand. Extended production testing is expected to commence shortly with results expected by the end of July. Further updates will be provided once testing is completed. Meanwhile, the rig is being moved to the UMU-4 well to execute a similar horizontal side-track, targeting the VII sand.

Additional information regarding Mart is available on the Company's website at www.martresources.com and under the Company's profile on SEDAR at www.sedar.com.

Except where expressly stated otherwise, all production figures set out in this press release, including bopd, reflect gross Umusadege field production rather than production attributable to Mart. Mart's share of total gross production before taxes and royalties from the Umusadege field fluctuates between 82.5% (before capital cost recovery) and 50% (after capital cost recovery).

Forward Looking Statements and Risks

Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

In particular, there is no assurance that there will not be future disruptions of the NAOC pipeline or Brass River export terminal. Any future disruptions will materially and adversely affect the ability of the Company to transport, deliver and sell its crude oil production from the Umusadege field. Statements (express or implied) concerning the allocation of export and pipeline capacity to the Umusadege field from their third party pipeline owners, should also be viewed as forward looking statements. Pipeline and export facilities losses are expected to continue in the future and such losses could be material. There is no assurance that there will not be adjustments to previously reported pipeline losses. There is no assurance that the estimates of current month pipeline losses will reflect actual pipeline losses once reported to the Company by NAOC. There is no assurance regarding that the completion of the Umugini pipeline will be completed by the end of July 2014 or that all equipment, agreements or approvals required to commission, operate or transport oil through the Umugini pipeline will be received in a timely fashion or at all.

There is no assurance that the Company will be able to successfully test the UMU-3 horizontal well sidetrack, or commercially produce, transport or sell oil from the UMU-3 well (or any one or more of the sands identified by the UMU-3 well). There is also no assurance that the Company will be able to execute a successful horizontal well sidetrack of the UMU-4 well. Statements (express or implied) regarding the ability of the Company to successfully complete, test and commercially produce, transport and sell oil from the UMU-3 well (or any one or more of the hydrocarbon sands identified by the UMU-3 well) or the UMU-4 well, should all be viewed as forward-looking statements. The well log interpretations indicating hydrocarbon-bearing sands are not necessarily indicative of future production. There is no assurance that reserves will be assigned to such hydrocarbon bearing sands.

There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should no place undue reliance on forward-looking statements contained in this news release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.

Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

NEITHER THE TSX NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.

Contacts:
Mart Resources, Inc. - London, England office
Wade Cherwayko
+44 207 351 7937
[email protected]

Mart Resources, Inc. - London, England office
Dmitri Tsvetkov
+44 207 351 7937
[email protected]

Mart Resources, Inc. - Canada
Sam Grier
403-270-1841
[email protected]
www.martresources.com

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
Get deep visibility into the performance of your databases and expert advice for performance optimization and tuning. You can't get application performance without database performance. Give everyone on the team a comprehensive view of how every aspect of the system affects performance across SQL database operations, host server and OS, virtualization resources and storage I/O. Quickly find bottlenecks and troubleshoot complex problems.
Internet of @ThingsExpo has announced today that Chris Matthieu has been named tech chair of Internet of @ThingsExpo 2017 New York The 7th Internet of @ThingsExpo will take place on June 6-8, 2017, at the Javits Center in New York City, New York. Chris Matthieu is the co-founder and CTO of Octoblu, a revolutionary real-time IoT platform recently acquired by Citrix. Octoblu connects things, systems, people and clouds to a global mesh network allowing users to automate and control design flo...
"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.
With 15% of enterprises adopting a hybrid IT strategy, you need to set a plan to integrate hybrid cloud throughout your infrastructure. In his session at 18th Cloud Expo, Steven Dreher, Director of Solutions Architecture at Green House Data, discussed how to plan for shifting resource requirements, overcome challenges, and implement hybrid IT alongside your existing data center assets. Highlights included anticipating workload, cost and resource calculations, integrating services on both sides...
Unless your company can spend a lot of money on new technology, re-engineering your environment and hiring a comprehensive cybersecurity team, you will most likely move to the cloud or seek external service partnerships. In his session at 18th Cloud Expo, Darren Guccione, CEO of Keeper Security, revealed what you need to know when it comes to encryption in the cloud.
"We're a cybersecurity firm that specializes in engineering security solutions both at the software and hardware level. Security cannot be an after-the-fact afterthought, which is what it's become," stated Richard Blech, Chief Executive Officer at Secure Channels, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
According to Forrester Research, every business will become either a digital predator or digital prey by 2020. To avoid demise, organizations must rapidly create new sources of value in their end-to-end customer experiences. True digital predators also must break down information and process silos and extend digital transformation initiatives to empower employees with the digital resources needed to win, serve, and retain customers.
"We are the public cloud providers. We are currently providing 50% of the resources they need for doing e-commerce business in China and we are hosting about 60% of mobile gaming in China," explained Yi Zheng, CPO and VP of Engineering at CDS Global Cloud, 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.
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...
Between 2005 and 2020, data volumes will grow by a factor of 300 – enough data to stack CDs from the earth to the moon 162 times. This has come to be known as the ‘big data’ phenomenon. Unfortunately, traditional approaches to handling, storing and analyzing data aren’t adequate at this scale: they’re too costly, slow and physically cumbersome to keep up. Fortunately, in response a new breed of technology has emerged that is cheaper, faster and more scalable. Yet, in meeting these new needs they...
When it comes to cloud computing, the ability to turn massive amounts of compute cores on and off on demand sounds attractive to IT staff, who need to manage peaks and valleys in user activity. With cloud bursting, the majority of the data can stay on premises while tapping into compute from public cloud providers, reducing risk and minimizing need to move large files. In his session at 18th Cloud Expo, Scott Jeschonek, Director of Product Management at Avere Systems, discussed the IT and busin...
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...
The Internet of Things (IoT) promises to simplify and streamline our lives by automating routine tasks that distract us from our goals. This promise is based on the ubiquitous deployment of smart, connected devices that link everything from industrial control systems to automobiles to refrigerators. Unfortunately, comparatively few of the devices currently deployed have been developed with an eye toward security, and as the DDoS attacks of late October 2016 have demonstrated, this oversight can ...
What happens when the different parts of a vehicle become smarter than the vehicle itself? As we move toward the era of smart everything, hundreds of entities in a vehicle that communicate with each other, the vehicle and external systems create a need for identity orchestration so that all entities work as a conglomerate. Much like an orchestra without a conductor, without the ability to secure, control, and connect the link between a vehicle’s head unit, devices, and systems and to manage the ...
"Once customers get a year into their IoT deployments, they start to realize that they may have been shortsighted in the ways they built out their deployment and the key thing I see a lot of people looking at is - how can I take equipment data, pull it back in an IoT solution and show it in a dashboard," stated Dave McCarthy, Director of Products at Bsquare Corporation, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.