SOURCE: Strongbow Resources Inc.
HOUSTON, TX--(Marketwire - Nov 21, 2012) - Strongbow Resources Inc. (OTCBB: STBR) ("Strongbow" or "the Company") announces that it has completed the 'testing phase on Compeer 5-29-33-02W4M.' Management has approved the installation of permanent production facilities and the construction of a single well battery at the well site. The Company intends to commence transport and installation of production storage tanks, and a separator early next week. Construction should take about a week to complete, after which, continuous production rates are expected to commence. The Company has earned eight sections of land in the Compeer Area of southeastern Alberta.
The earning well, Big Lake Compeer 5-29-33-2W4, was completed and equipped for Viking oil production in August. The well was fracture stimulated along a 1200 meter lateral section using a 10 segment multi-fracture stimulation. The oil is light, 39° API, sweet crude with a relatively high solution gas content. During the testing phase, initial production rates did not match anticipated levels. Oil production, however, has continued to increase and is showing signs of improvement. With the permanent production facilities in place, the Company will be able to measure gas production rates and establish whether it would be economical to recover and sell the solution gas. If not, then the gas would be used to fuel the pump jack and heaters on site. Currently the Company is expecting daily 'flowing production rates' equivalent to 5 to 15 barrels of oil per day. It anticipates this rate will increase with the continuous production of the well. Based on performance of other Viking oil wells in the area, initial production rates have tended to increase over time.
The Viking Formation oil prospect is part of an emerging large oil resource play in Eastern and Central Alberta as well as in the Dodsland area of Saskatchewan. The Viking Formation in the Compeer play could be developed by up to four (4) horizontal wells per section. Strongbow has now earned in eight sections in the Compeer area.
About Strongbow Resources Inc.
On February 21, 2012 Strongbow executed an agreement through which it acquired the right to earn an undivided 100% working interest in a Petroleum and Natural Gas License covering eight (8) sections of land (5,120 acres, more or less) located in the Compeer Area in the Province of Alberta, Canada. Strongbow is also negotiating a number of additional oil and gas leases through which it intends to expand its operations in Canada and the United States.
Strongbow Resources Inc. operates as Big Lake Energy Ltd. in Alberta.
Forward-Looking Statements: This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the Company believes or anticipates will or may occur in the future are forward-looking statements. 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. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which the Company has little or no control. The Company does not intend (and is not obligated) to update publicly any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the Company's recent filings with the SEC.
ON BEHALF OF THE BOARD OF DIRECTORS