Lynden Energy Corp.
TSX VENTURE : LVL

Lynden Energy Corp.

December 20, 2010 09:06 ET

Lynden Energy Corp.: Three Wolfberry Wells Drilled and Ready for Completion

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 20, 2010) - Lynden Energy Corp. (TSX VENTURE:LVL) reports that three new Wolfberry Project wells have been recently drilled to their target depths in the Mississippian formation. All three wells have been cased and are ready for completion in the 'typical' Wolfberry formations as well as in the deeper Strawn, Atoka and Mississippian limestone and shale formations. All three wells had encouraging oil and gas shows during drilling.

Two of the wells are scheduled for fracture stimulation in late December and the third is scheduled for early January. All three wells are in close proximity to production infrastructure and are expected to be tied-in shortly after stimulation.

Two of the new wells are in the Lynden's West Martin prospect area located primarily in Martin County, West Texas. Lynden is funding 50% of the cost of the two wells to earn a 43.75% working interest. Lynden has an interest in leases in the West Martin prospect area covering approximately 5,286 gross (4,899 net) acres. Eleven additional Wolfberry wells are scheduled to be drilled in the West Martin prospect area in 2011. Lynden currently has two producing Wolfberry wells in the West Martin prospect area.

One of the new wells is located in the Wind Farms prospect area in Glasscock County, West Texas. Lynden is funding 50% of the cost of the well to earn a 43.75% working interest. Lynden has an interest in leases in the Wind Farms prospect area covering approximately 3,350 gross (2,373 net) acres. Five additional Wolfberry wells are scheduled to be drilled in the Wind Farms prospect area in 2011. Lynden currently has one producing Wolfberry well in the Wind Farms prospect area.

Wolfberry wells primarily target oil (and gas) production from the Spraberry and Wolfcamp formations, which are of Permian age and informally grouped to form the "Wolfberry" interval or zone. Secondary targets are also being evaluated for completion as part of Lynden's Wolfberry Project. Typical Wolfberry wells involve completions over a 2,500 to 3,000 foot gross interval, generally located between 7,000 and 11,000 feet, drilling depth.

Lynden is a Canadian-based oil and gas company with operations focused on our Wolfberry and Mitchell Ranch projects in the Permian Basin, West Texas, and our Paradox Basin Project, Utah.

ON BEHALF OF THE BOARD OF DIRECTORS

LYNDEN ENERGY CORP.

Colin Watt, President and CEO

FORWARD-LOOKING STATEMENTS DISCLAIMER: This news release contains forward-looking statements. The reader is cautioned that assumptions used in the preparation of such statements, although considered accurate at the time of preparation, may prove incorrect, and the actual results may vary materially from the statements made herein. Expectations of drilling sixteen wells in 2011 and expected timelines relating to oil and gas operations are subject to the customary risks of the oil and gas industry. For a more detailed description of these risks, and others, see www.lyndenenergy.com/riskfactors.html. Actual intervals selected for completion and number of fracture stimulation stages will be determined based on information available at the time the completions are initiated.

Neither 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 news release.

Contact Information

  • Lynden Energy Corp.
    Colin Watt
    President and CEO
    (604) 629-2991
    (604) 602-9311 (FAX)
    www.lyndenenergy.com