BrazAlta Resources Corp.
TSX VENTURE : BRX

BrazAlta Resources Corp.

April 12, 2006 09:00 ET

BrazAlta Resources Corp. Announces Drilling Update

CALGARY, ALBERTA--(CCNMatthews - April 12, 2006) - BrazAlta Resources Corp. (TSX VENTURE:BRX):

Brazil Operations Update

During the first quarter of 2006, BrazAlta performed three (3) recompletions on existing wells and was able to reactivate two (2) wells in the Santana field. The recompletions add 30 barrels of oil per day bringing the daily Brazilian production on a gross basis to 330 boe with 157 boe being net to BrazAlta.

BrazAlta has begun its 2006 Brazilian drilling program. The original 2006 program was expanded from 18 to 21 wells. Drilling commenced on the first 10 wells in late March, 2006 and is expected to conclude by the end of the year. This initial program is targeting exploration wells with drill depths of less than 1,000 meters. Drilling an additional 11 development wells with depths up to 2,500 meters is scheduled to begin mid year and be completed by year end 2006.

Securing of Drilling Rigs

BrazAlta has successfully contracted a shallow rig with a 1,000 meter depth capability. This rig is being utilized for the 10 exploration locations as described above. As previously disclosed, the company signed an MOU with Schlumberger in December 2005. One of the elements that Schlumberger brings to the alliance is access to a 2,800 meter rig. BrazAlta has been exploring a number of alternative deep rig options, including Schlumberger, and expects to commit to one of these options before June 2006.

Canadian Operations Update

In the first quarter of 2006 BrazAlta participated in two (2) shallow gas wells in the Sylvan lake region of Alberta. Both wells have been drilled and cased. BrazAlta expects to have the wells tested after break up.

Northern Ireland Operations Update

BrazAlta and its partners are obligated to drill a well in South Larne by October 2006 in order to extend the lease beyond October 31, 2006. Both BrazAlta and its partners are exploring a number of strategic options which includes farming out or performing directly in a drilling program.

BrazAlta is a publicly traded Canadian based international oil and gas corporation with operations in Brazil, Northern Ireland and Canada.

This press release may contain statements within the meaning of safe harbour provisions as defined under US Laws and Regulations. The above statements are based on the current expectations and beliefs of BrazAlta's management and are subject to a number of risks and uncertainties that may cause the actual results to differ materially from those described above. BrazAlta does not undertake any responsibility with regard to the accuracy of this press release nor the obligation to update the abovementioned information.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • BrazAlta Resources Corp.
    David R. P. Mears
    President & CEO
    (403) 561-1648
    Email: dmears@brazalta.com