Sea Dragon Energy Inc.
TSX VENTURE : SDX

Sea Dragon Energy Inc.

October 21, 2009 09:00 ET

Sea Dragon Energy Inc. Announces the Successful Completion of the Al-Amir SE #4 Well and Spudding of the Geyad #2 Well in the NW Gemsa Concession, Egypt

CALGARY, ALBERTA--(Marketwire - Oct. 21, 2009) - Sea Dragon Energy Inc. ("Sea Dragon" or the "Company") (TSX VENTURE:SDX) is pleased to announce the successful completion, testing and placement on production of the fourth well in the Al Amir S.E. Field in the N.W.Gemsa Concession in Egypt.

The Al Amir S.E. #4 well tested 40degree API crude oil and solution gas from the Kareem Formation at a rate of 5000 bopd and 7 mmscf/d using a 64/64inch Choke. The Choke size was decreased to 32/64inch for good production practices and the well was placed on production at a stabilized rate of 2580 bopd and 2.88 mmscf/d. With the Al Amir S.E. #4 well now on stream, oil production from the NW Gemsa concession should soon exceed 7000 bopd.

The Kareem Formation in this well contained a gross pay section of 70 feet which is the thickest pay found in the Al Amir S.E. Field thus far.

The Drilling Rig has now moved and commenced drilling the Geyad #2 appraisal well. At the time of this press release the well was drilling below 2,000 feet towards its primary target in the Miocene Lower Kareem Formation expected at approximately 6, 000 feet. This well is also planned to test secondary targets in the Pre-Miocene including the Nubia sandstones at 11,800 feet.

The Nubia Formation in this area can be quite prolific and if found productive could add significantly to the resource potential of the block.

Commenting on the test results of the Al Amir S.E. #4 well, Mr. Said Arrata, Chairman and CEO of Sea Dragon said:
"Our continued success in exploiting the NW Gemsa Concession and ramping up production from the Al Amir S.E. Field is very exciting indeed. It reinforces our expectations for the significant upside this concession holds."

For further information please see the website of the Company at www.seadragon.ca or the Company's filed documents at www.sedar.com.

Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading Risk Factors and elsewhere in the Company's filings with Canadian securities regulators. Specifically that there is no assurance that any hydrocarbon reserves will be discovered nor is there any assurance that any hydrocarbons encountered will be in commercially recoverable quantities. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume any obligation to update any forward-looking statements, save and expect as may be required by applicable securities laws.

Sea Dragon is an international exploration and development company with a focus on the Middle East and an office in Cairo Egypt.

Additional information related to the Corporation is filed on SEDAR at www.sedar.com.

The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

Contact Information

  • Sea Dragon Energy Inc.
    David Thompson
    Senior Vice-President
    (403) 457-5035
    or
    Sea Dragon Energy Inc.
    Cameron Dow
    CFO
    (403) 457-5035
    info@seadragon.ca
    www.seadragon.ca