Bayshore Petroleum Corp.

March 08, 2012 16:00 ET

Bayshore Petroleum Corp. Announces Lease Acquisition and Saskatchewan Well Licensing

CALGARY, ALBERTA--(Marketwire - March 8, 2012) - Bayshore Petroleum Corp. (TSX VENTURE:BSH) ("Bayshore" or the "Corporation") is pleased to announce it has negotiated the acquisition of an Alberta Petroleum and Natural Gas Lease covering 100% of Section 20 70-23W4 in the Canal region. Bayshore will pay consideration consisting of cash and 10,000 Bayshore common shares to the vendor of the lease. The acquisition is subject to the approval of the TSX Venture Exchange.

Bayshore is also pleased to announce it has obtained licenses for two exploratory wells in Saskatchewan, Bayshore Radville 5-4-6-17W2 and 8-5-6-17W2 (the "Radville Wells"). Bayshore plans to spud the Radville Wells as soon as the drilling rig is secured in the area. The Radville Wells will be drilled to a depth of 2,000 meters and will target Midale, Frobisher, Bakken and other deep formations.

Bayshore is currently negotiating a farm out agreement with a Hong Kong, China based investment holding company pursuant to which the holding company will farm in up to 100 percent of Bayshore's interest in Sections 4 and 5-6-17W2. Upon the completion of the Radville Wells, the potential farmor will have the right to participate in future development drilling of the two sections.

Bayshore is a Calgary, Alberta based corporation engaged in the exploration, development and production of petroleum and natural gas. The Common Shares are listed on the TSX Venture Exchange under the trading symbol "BSH".

Cautionary Statements

Statements in this press release may contain forward-looking information including expectations of future production, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income taxes, regulatory changes, and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the mining industry, commodity prices and exchange rate changes. Industry related risks
could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.

Contact Information

  • Bayshore Petroleum Corp.
    Peter Ho
    President and Chief Executive Officer
    403 265-8820