Mart Resources, Inc.

Mart Resources, Inc.

December 09, 2010 08:30 ET

Mart Resources, Inc.: UMU-6 Well Test Update

CALGARY, ALBERTA--(Marketwire - Dec. 9, 2010) - Mart Resources, Inc. (TSX VENTURE:MMT) ("Mart" or the "Company") and its co-venturers, Midwestern Oil and Gas Company Plc. (Operator of the Umusadege field) and Suntrust Oil Company Limited are pleased to report encouraging initial test results from the first and second of four planned production tests on the UMU-6 well located in the Umusadege field.

The first test on the UMU-6 well was conducted on the XVII oil zone, which is the deepest zone to be tested at 8,618 feet with 10 feet of oil pay. During the test, the well flowed at stabilized rates up to 3,102 barrels per day of 42.5 API gravity oil through 3 1/2 inch tubing on a 26/64 inch choke at a flowing tubing pressure of 575 PSI. Water production was less than 0.2% and the gas/oil ratio was approximately 51 standard cubic feet per barrel.

The second test was conducted on the XVI (b), a 20 foot oil zone, which flowed at stabilized rates up to 3,433 barrels per day of 40 API gravity oil through 3 1/2 inch tubing on a 22/64 inch choke at a flowing tubing pressure of 610 PSI. Water production averaged 0.3% and the gas/oil ratio was approximately 60 standard cubic feet per barrel.

The two additional zones to be tested are the XIII (b) with 23 feet of oil pay and the XIII (a) with 18 feet of oil pay. Further updates will be provided on these zones following completion of testing.

All of the UMU-6 well's primary objectives, including the XIII, XIV, XV and XVI sands were hydrocarbon bearing with preliminary results indicating gross oil pay of 40 feet, 24 feet, 6 feet and 18 feet from these sands respectively. A deeper XVII sand was also encountered with initial results indicating 8 feet of gross oil pay. The XIII, XIV, XV, XVI and XVII sands have not previously been assigned reserves in the Company's most recent NI 51-101 reserve report. The Company plans to update its reserve report once the current testing program of the four zones in the UMU-6 well has been completed.


Mart Resources Inc. is an independent, international petroleum company focused on drilling, developing and producing oil and gas from low-risk proven petroleum properties in Nigeria, West Africa. The Company is currently producing and developing the Umusadege field along with Midwestern Oil and Gas Company Plc (the Operator of the field) and SunTrust Oil Company Limited. Mart also owns two land drilling rigs, has strong local relationships and experience and is evaluating additional proven undeveloped opportunities in Nigeria.

Forward Looking Statements

Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

In particular, statements concerning the timing of the testing of the UMU-6 well, the future results or success of such testing operations, the ability of the Company to successfully complete and commercially produce, transport and sell oil from the UMU-6 well (or any one or more of the hydrocarbon sands identified by the UMU-6 well), the ability of the Company to successfully drill other wells on the Umusadege field and the ability to of the Company to fund future drilling operations should all be viewed as forward-looking statements. Flow rates established during initial tests are preliminary only, are not necessarily indicative of future production rates and may change materially as the UMU-6 well stabilizes. The flow rates in zones tested is not necessarily indicative that other zones will be productive, including zones where preliminary results indicate that the sands were hydrocarbon bearing. In addition to the foregoing, certain factors can affect the ability of the Company to deliver oil that may be produced and can cause production shutdowns. These can include planned maintenance programs or unpredictable and unplanned external factors such as accidental or deliberate damage to pipelines and other facilities upon which the Company is reliant. When such disruptions occur, it may not possible to predict how long such disruptions may last or how long a shutdown may occur.

There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.

Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.


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