Forent Energy Ltd.

Forent Energy Ltd.

October 19, 2010 07:00 ET

Forent Energy Drills Successful Lloydminster Well and Completes Gravity Gradiometry Survey in Nova Scotia

CALGARY, ALBERTA--(Marketwire - Oct. 19, 2010) - Forent Energy Ltd. (TSX VENTURE:FEN) ("Forent" or the "Company") is pleased to provide the following update on its Western Canadian and Nova Scotia operations. 

The Company completed a successful oil well in the Lloydminster area of Alberta that is currently producing oil at a rate of 50 bbls of oil per day. The well was drilled pursuant to a farm-in agreement with Sahara Energy Ltd. ("Farmor"), under which Forent paid 100% of the costs to drill, complete and equip the well in order to earn 100% working interest in one LSD and 50% of the Farmor's 100% interest in a second LSD. The well is subject to a 15% gross overriding royalty until payout, after which the Farmor has the option of converting its GOR to a 50% working interest. Forent intends to drill at least one more well in the area. Forent's current overall production, including this last Lloydminster well, is in excess of 300 bbls of oil equivalent per day, including 600 mcf/d of natural gas. 

ARKeX Limited recently completed the previously announced gravity gradiometry survey on the Alton Block in Nova Scotia. The survey data has been sent to the ARKeX offices in the United Kingdom for processing which is expected to take approximately six weeks. Interpretation of this data, on the 200 square mile Gays River reef oil fairway, is expected to commence in December 2010.

Forent is a significant on-shore oil and natural gas license holder in Nova Scotia with exploration licenses on more than 1.2 million net acres and an extensive inventory of oil and natural gas opportunities, including conventional Gays River carbonate oil & natural gas targets and a significant Horton shale gas resource play. The Company is also building a production base in western Canada.

Shares of Forent trade on the TSX Venture Exchange under the symbol "FEN.V".

The term barrels of oil equivalent ("BOE") may be misleading, particularly if used in isolation. In accordance with NI 51-101, a BOE conversion ratio of six thousand cubic feet per barrel (6 mcf/bbl) of natural gas to barrels of oil equivalence is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All BOE conversions herein are derived from converting gas to oil in the ratio mix of six thousand cubic feet of gas to one barrel of oil.

Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements such as the estimates of reserves, the references to Forent's exploration program and drilling program and capital expenditures relating to, and timing of, such programs are based on the opinions and estimates at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements. There are uncertainties inherent in forward-looking information, including factors beyond Forent's control, and no assurance can be given that the programs will be completed on time, on budget or at all. In addition, there are numerous uncertainties inherent in estimating reserves, including many factors beyond Forent's control, and no assurance can be given that the indicated level of reserves or the recovery thereof will be realized. Forent undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. Additional information identifying risks and uncertainties that could affect financial results is contained in Forent's filings with Canadian securities regulators, which filings are available at

The TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

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