QUEBEC CITY, QUEBEC--(Marketwired - Sept. 19, 2016) - Junex Inc. (TSX VENTURE:JNX) ("Junex" or the "Company") is pleased to announce that long-term oil production testing of its Galt No. 4 Horizontal well continues to deliver strong results. The cumulative oil recovered from production testing since the well finished drilling in November 2014 now stands at approximately 14,100 barrels, which maintains this well as having the largest oil recovery ever seen in Quebec's history.
In addition, Junex recently flowed this well continuously without need of the pump over a 23-day period that yielded 1,618 barrels of light, sweet crude oil. The flowing production rate was deliberately controlled to not exceed 100 barrels of oil per day during this period.
"Our Galt No. 4 Horizontal well is a very good well. Since being drilled, it has been a strong performer, particularly that it has naturally flowed oil on its own over part of this period. To the best of our knowledge, the 23-day period is the longest period of continuous natural oil flow ever seen in a well drilled in Quebec. The production testing of this well has been the principal focus of our efforts at Galt because it is a key element as to the future development of the Galt light oil accumulation. The improved understanding of this well's performance, when integrated with other information such as the 3D seismic data we acquired last year, has influenced the selection of the optimal locations for future wells on the Galt Oil Property", commented Mr. Peter Dorrins, Junex's President & CEO.
The testing program, which is slated to continue until late November 2016 per Quebec government regulations, includes producing the well at varying, controlled production rates over different portions of the horizontal wellbore in the Forillon oil reservoir. This production has been and will be through unassisted natural flow and/or by using the pump. Similarly, production testing operations may be temporarily suspended during this time to perform downhole well operations, including but not limited to the retrieval and replacement of downhole pressure gauges in the well.
Mr. Dorrins added, "Following completion of the field operations in the Galt No. 5 well last June, the well was shut-in to record the build-up in formation pressure in the reservoir. These data will provide important details as to the reservoir characteristics in this well, including the potential productivity of this horizontal wellbore. The well remains shut-in for pressure build-up, which will also continue for some time. Once the shut-in period is ended, the downhole pressure gauges will be retrieved and the data analyzed. This will be the basis for determining the next steps for the Galt No. 5 well."
Junex is a junior oil and gas exploration company that holds exploration rights on approximately 5.2 million acres of land in the Appalachian basin in the Province of Quebec, including the Galt Oil Property on the Gaspé Peninsula in eastern Quebec, landholdings on Anticosti Island in the Gulf of St. Lawrence and landholdings in the St. Lawrence Lowlands between Montreal and Quebec City. In parallel to its exploration efforts in Quebec and expansion of its exploration activities elsewhere, the company operates a drilling services division.
Forward-Looking Statements and Disclaimer
Certain statements in this press release may be forward-looking. Forward-looking statements are based on the best estimates available to Junex at the time and involve known and unknown risks, uncertainties and other factors that may cause Junex's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A description of the risks affecting Junex's business and activities appears under the heading "Risks and Uncertainties" on pages 18 to 22 of Junex's 2015 annual management's discussion and analysis, which is available on SEDAR at www.sedar.com. No assurance can be given that any events anticipated by the forward-looking information in this press release will transpire or occur, or if any of them do so, what benefits that Junex will derive therefrom. In particular, no assurance can be given as to the future financial performance of Junex. Junex disclaims any intention or obligation to update or revise any forward-looking statements in order to account for any new information or any other event. The reader is warned against undue reliance on these forward-looking statements.
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