Crocotta Energy Inc.

Crocotta Energy Inc.

March 14, 2008 06:00 ET

Crocotta Energy Inc. Provides Operations Update

CALGARY, ALBERTA--(Marketwire - March 14, 2008) - CROCOTTA ENERGY INC. (TSX:CTA) ("Crocotta") is pleased to announce it has increased current production to over 2,600 boepd and tied-in an additional 400 boepd that will be onstream next week for total corporate production of 3,000 boepd (40% light oil & NGLs, 60% natural gas). Crocotta estimates that Q208 production will average approximately 2,800 boepd.

The increases came primarily from a successful Q108 drilling program and the implementation of a waterflood scheme at Niton. Crocotta is also drilling 2 additional wells and completing the remaining 2 wells from its Q108 drilling program.

Crocotta has 4 key growth areas as follows:

West Central Alberta

West Central Alberta is a multi-zone area characterized by liquids rich natural gas and light oil and is Crocotta's largest producing property at 2,100 boepd. The Company has assembled 69,000 acres of land with a working interest of approximately 70% and will continue to focus primarily on Rock Creek and Mannville exploration and development.

Smoky, Alberta

Crocotta assembled a land base of approximately 25,000 gross (19,700 net) acres of land via crown land sales and farm-ins. In Q108, Crocotta drilled 3 (1.2 net) successful wells and will have increased area production from nil to 300 boepd once onstream next week. The Company is also drilling 2 additional wells in the area prior to break-up and has identified numerous follow-up locations based on its success.

Tupper, British Columbia

Crocotta holds an average 71% interest in approximately 11,000 gross (7,800 net) acres of land in the Tupper Area of British Columbia plus has a farm-in agreement to earn an additional 1,470 gross (880 net) acres. The lands are located in the Montney fairway that has significant natural gas resource potential. The Company is currently in the process of recompleting one well in the Montney on a vertical basis and will make further capital decisions based on the results.

Lookout Butte, Alberta

Crocotta holds a 50% working interest in 2,800 acres of land and will earn (via farm-in) an additional 1,020 net acres by drilling 2 wells in 2008. Crocotta is currently completing a Mannville discovery that was drilled late in 2007. Based on logs and offset production, the Company believes there are up to 4 commercial pay zones in the well.

Crocotta anticipates releasing its 2007 year-end reserves and financial results on Thursday March 20, 2008.

This press release may contain forward-looking information that involves a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. For this purpose, any statements herein that are not statements of historical fact may be deemed to be forward-looking statements. Such risks and uncertainties include, but are not limited to: risks associated with the oil and gas industry (e.g. - operational risks in exploration, development and production; changes and/or delays in the development of capital assets; uncertainty of reserve estimates; uncertainty of estimates and projections relating to production and costs; commodity price fluctuations; environmental risks; and industry competition).

Contact Information

  • Crocotta Energy Inc.
    Rob Zakresky
    President and Chief Executive Officer
    (403) 538-3736
    Crocotta Energy Inc.
    Nolan Chicoine
    Vice President, Finance and Chief Financial Officer
    (403) 538-3738
    Crocotta Energy Inc.
    700, 639 -5th Ave SW
    Calgary, Alberta T2P 0M9