Blackdog Resources Ltd.

Blackdog Resources Ltd.

October 19, 2009 08:00 ET

Blackdog Resources Ltd. Announces Update on Woking Property

CALGARY, ALBERTA--(Marketwire - Oct. 19, 2009) - Blackdog Resources Ltd. ("Blackdog" or the "Company")(TSX VENTURE:DOG) is pleased to provide an update on the results of its second re-worked light oil well on its property at Woking, Alberta approximately 60 km northeast of Grande Prairie.

The second well was perforated in a new interval in an existing wellbore and commenced production on October 9, 2009 at over 100 barrels of light oil per day ("bopd") with a water cut of 30%. The Company believes this well will stabilize at a rate of between 50-70 bopd with a water cut of about 60%. Currently, Blackdog has a 95.45% working interest ("W.I.") in this well, which will revert to a 31.89% W.I. after payment by its partner of an approximate $400,000 penalty. The total cost to re-work the well and bring it to production was less than $150,000.

The Company is now earning significant cash flow from its two light oil wells on its Woking property. The first re-worked well (6-21-75-4) has been producing at a stabilized rate of approximately 30 bopd since September 8, 2009 with a 62% water cut. Blackdog has a 58% W.I. in this well. It was brought on to production for less than $50,000. The addition of the production from these two wells has allowed the Company to increase its daily production from approximately 50-70 barrels of oil equivalent per day ("boepd") at the end of Q3, 2009 to between 100-125 boepd currently with over a 95% weighting in light oil.

David A. Corcoran, President of Blackdog commented, "We are delighted with the initial production results from our wells at Woking. In the rework of our second well, we perforated a new interval that has not been previously completed on the property but is also present in several of our other wellbores. We believe we have now expanded the potential size of the Halfway pool we plan to exploit. We look forward to continuing to develop our Woking property and grow the value of Blackdog for our shareholders through prudent deployment of capital focusing on light oil properties."

About Blackdog:

Blackdog is an evolving junior oil and gas company headquartered in Calgary, Alberta. Blackdog's strategy is to focus on the acquisition, development and drilling of undervalued light oil properties in Alberta and South East Saskatchewan.

Blackdog currently has 16,732,447 Common Shares Outstanding.

Certain information regarding Blackdog in this news release, including management's assessment of future plans and operations and productive capacity of the wells, may constitute forward looking statements under applicable securities laws and necessarily involve risks including, without limitation, risks associated with oil and gas exploration, development, production, marketing and transportation, loss of markets, volatility of commodity prices, imprecision of reserve estimates, environmental risks, competition from other producers, unexpected decline rates in wells, wells not performing as expected, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect Blackdog's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website ( The forward-looking statements or information contained in this news release are made as of the date hereof and Blackdog does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

The term "BOE" may be misleading, particularly if used in isolation. In accordance with National Instrument 51-101, a BOE conversion ratio for natural gas of 6 mscf: 1 bbl has been used which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

Neither the TSX Venture Exchange nor its Regulator Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or the accuracy of this release.

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