Rodinia Oil Corp.

March 29, 2011 09:02 ET

Rodinia Oil Corp. Provides Update on Capital Expenditure Plans and Operations

CALGARY, ALBERTA--(Marketwire - March 29, 2011) - Rodinia Oil Corp. (TSX VENTURE:ROZ) ("Rodinia" or the "Corporation") would like to update its shareholders and other interested parties regarding its planned capital expenditures for 2011, as well as provide an update on its ongoing operations in the Officer Basin, South Australia.

Capital Expenditures

Rodinia's board of directors has approved a 2011 capital expenditure budget of $42 million net to Rodinia ($52.5 million gross), consisting of drilling four exploratory wells and the completion of its Phase III seismic program.

Phase III Seismic Program

On March 3, 2011, Rodinia announced that it had entered into a Deed of Access with the Australian Department of Defence, allowing it to explore within the Woomera Prohibited Area ("WPA") within PEL 81 in South Australia. This Deed of Access allows Rodinia to enter the WPA, subject to various terms and conditions in relation to notification of timing for access, people entering and equipment to be used during the seismic survey.

Rodinia has proposed more than 400 kilometres of 2D seismic within the WPA. This program will commence shortly, in conjunction with its current seismic acquisition operations outside of the WPA, but all within PELs 81 and 253.

Rodinia has already acquired approximately 1,350 kilometres of 2D seismic during the Phase III seismic program. To date, much of the seismic acquisition has been around Rodinia's proposed 2011 drill targets to more specifically define the structures and drilling locations where Rodinia will be drilling in the near future.

2011 Drilling Program

Rodinia entered into a drilling contract with Ensign International Drilling in November 2010. This drilling contract includes four firm wells with the option to extend the contract to drill four additional wells (eight in total) with Ensign's Rig 16 as part of this program.

Rig 16 is currently under contract to a third party in the Cooper Basin, Australia, where there has been significant local rainfall and flooding (with accompanying road closures). Rig 16 is scheduled to be released from its current program in approximately three weeks. At that time, the rig will be moved approximately 2,000 kilometers (much of which is across unsealed roads) to the Officer Basin to commence Rodinia's four well exploratory drilling program. Rodinia will provide a further update once an actual spud date for the first well has been confirmed with a greater degree of certainty.

About Rodinia Oil Corp.

Rodinia, an international oil and gas corporation listed on the TSX Venture Exchange under the symbol "ROZ", is engaged in the exploration, acquisition and development of world-class onshore petroleum and natural gas assets in Australia's Officer Basin. Founded in 2006, Rodinia is one of the first companies of its kind to undertake onshore exploration in the Officer Basin and has access to large tracts of potential oil resources in the region. Rodinia has offices in Calgary, Alberta, Canada and Adelaide, South Australia. 

Forward-Looking Statements

This press release may contain forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Rodinia, including, without limitation, statements pertaining to management's future plans and operations. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties, including, without limitation, risks associated with oil and gas exploration and development and volatility of commodity prices. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Rodinia's disclosure documents on the SEDAR website at Any forward-looking statements are made as of the date of this release and, other than as required by applicable securities laws, Rodinia does not assume any obligation to update or revise them to reflect new events or circumstances.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Rodinia Oil Corp.
    Shane J. Kozak
    Vice President Finance and Chief Financial Officer
    (403) 718-3877
    Brookline Public Relations
    Shauna MacDonald
    (403) 538-5645