March 04, 2013 08:30 ET
CALGARY, ALBERTA--(Marketwire - March 4, 2013) -
Batu Gajah PSC (Pan Orient Operator and 77% Working Interest)
Pan Orient Energy Corp. ("Pan Orient" or the "Corporation") (TSX VENTURE:POE) has completed the drilling of the Shinta-1 exploration well onshore Sumatra, Indonesia to a measured depth of 6,297 feet. Oil shows were encountered throughout the well from a depth of approximately 1,300 feet to total depth and a fluid sample containing 120 ml of oil and 820 ml of water was recovered from a sandstone zone at 5,758 feet in the primary reservoir target of the Lower Talang Akar formation. However, no zones are deemed commercial based on the interpretation of open hole wire line logs, mud logs, pressure data and fluid samples and the well has been abandoned.
Shinta-1 was drilled with an estimated total cost of approximately $3.4 million, 29% below the government approved AFE of $4.8 million. This well was the first to be drilled with the new drilling team led by Pan Orient's recently hired Chief Operating Officer Edward Bush, who is based in Jakarta, Indonesia.
The rig will now mobilize to the Buana-1 location with the well expected to commence drilling in approximately 20 days. Buana-1 is an up dip appraisal to the NTO-1 gas discovery made in 2011 and is targeting natural gas in Lower Talang Akar sands and oil in the Upper Talang Akar and Gumai sands.
An update on Thailand operations is expected to be issued by the Company within the next 10 days.
Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations located onshore Thailand, Indonesia and in Western Canada.
Neither 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 release.
Pan Orient Energy Corp.Jeff ChisholmPresident and CEO(403) 294-1770Pan Orient Energy Corp.Bill OstlundVice President Finance and CFO(403) 294-1770
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