Choice Resources Corp.
TSX VENTURE : CZE

Choice Resources Corp.

October 11, 2005 16:35 ET

Choice Announces Operations Update on Pincher Creek Development Well

CALGARY, ALBERTA--(CCNMatthews - Oct. 11, 2005) - Choice Resources Corp. (TSX VENTURE:CZE) ("Choice") is pleased to announce that drilling of the previously discussed horizontal well at Pincher Creek is proceeding according to plan. The well is currently drilling ahead in the horizontal section and it is expected to take 7 to 10 days to complete.

The well has been cased below the base of the Fernie Shale and is currently being horizontally drilled underbalanced in the Livingstone formation with natural gas. The production from the well is being conserved and processed through a closed system into Choice's plant and as a result flaring is minimized. Rates and pressures are managed with various injection rates of gas and liquid to maintain control of the well. It is premature to predict the final well capability at this time and more information will be released as data becomes available.

Choice has a capital interest in this well of 19% with a 30% working interest before payout of the well costs and a 52.5% after payout of the well capital. Choice will also receive a 10% gross over-riding royalty on 45% of production before payout reverting to the described working interest after payout.

The Pincher Creek area is a focus area for both exploitation and exploration. Further drilling, seismic and re-completion work will be done in conjunction with partner discussions upon completion of the current well.

Gordon D. Harris

President and CEO

CAUTION REGARDING FORWARD LOOKING STATEMENTS

Certain statements contained herein constitute forward-looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe", and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Corporation believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this report should not be unduly relied upon. These statements speak only as of the date of this presentation. The Corporation does not undertake any obligation to publicly update or revise any forward-looking statements.

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

Contact Information

  • Choice Resources Corp.
    Gordon D. Harris
    President and CEO
    (403) 216-7694
    or
    Choice Resources Corp.
    Steve Austin
    (403) 216-7694