Poplar Creek Resources Inc.
TSX VENTURE : PCK

September 13, 2011 10:45 ET

Poplar Creek Resources Inc. Updates Activity

CALGARY, ALBERTA--(Marketwire - Sept. 13, 2011) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

Poplar Creek Resources Inc. (TSX VENTURE:PCK) ("Poplar" or the "Corporation"), "PCK" on the TSX Venture Exchange, is pleased to announce that it has been advised by the operator that the two previously announced triple-leg horizontal oil wells drilled on the jointly held Sparky heavy oil play in the Warspite area of Alberta have now been placed on production. Based on the initial 10 days of production the well HZ Bellis 15-34-58-17-W4M flowed at an average rate of 193 boe/d (includes 110 bbls/d of oil (bopd) and 83 boe/d of natural gas). The flowing rates for this well will be monitored and a pump will be installed when operating conditions dictate. Based on the initial 11 days of production the well HZ Bellis 14-35-58-17-W4M was pumping at an average rate of 146 boe/d (includes 129 bopd of oil and 17 boe/d of natural gas). Natural gas production from both wells is being conserved in accordance with Energy Resources Conservation Board (ERCB) regulations via pipeline tie-in to the Company's jointly owned Warspite gas gathering system. Poplar has a 3.5% interest in the above mentioned wells bringing the Company's current production to an estimated 32 boe/d. The above mentioned wells are the second and third horizontal wells Poplar has drilled in conjunction with the operator on the jointly owned Sparky heavy oil property. A further four multi-lateral horizontal oil wells on the Sparky heavy oil play are being planned for the fourth quarter of 2011. The Company has an interest in 2560 gross acres (90 acres net) of prospective lands on this Sparky heavy oil play. In addition, approval has been granted by the ERCB to amend the drilling spacing on this Sparky heavy oil pool to allow for the drilling of up to 8 horizontal lateral legs per pool per quarter section. As a result of the ERCB approval, up to an additional 120 horizontal laterals have been identified.

As reported on July 19, 2011 Poplar will be shooting a seismic program at Radway, Alberta and in this regard initial field operations are now underway. Subject to the results of the seismic program a well may be drilled prior to year end.

BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. McfGEs may be misleading, particularly if used in isolation. An McfGE conversion ratio of 1bbl: 6 Mcf is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

This release includes certain statements that may be deemed "forward looking statements". All statements in this release, other than statements of historical facts, which address future activities including the closing of the financing, exploration drilling and activity, and events or developments that the Corporation intends, plans, anticipates, believes, estimates or expects are forward looking statements. Actual results may differ materially. Although the Corporation believes such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward looking statements. Factors that could cause results to differ materially from those in the forward looking statements include, but are not limited to: market conditions and difficulties of raising funds in this economic environment, availability and costing of exploration contractors; exploration success; continued availability of capital government regulations, laws and charges; environmental developments; exploitation economics; and generally the economic, market, financial and business conditions in the present volatile and uncertain economic period. Investors are cautioned that any statements are not guarantees of future performance and actual results or developments may differ materially from those stated in the forward looking statements. The Corporation does not intend, and does not assume any obligation to update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Poplar Creek. This news release shall not constitute an offer to sell or the solicitation of any offer to buy securities in any jurisdiction.

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 release.

Contact Information

  • Poplar Creek Resources Inc.
    John Carruthers
    CEO
    (403) 875-1821

    Poplar Creek Resources Inc.
    Richard Edgar
    President & CFO
    (403) 616-5387