TransAtlantic Petroleum Corp.

TransAtlantic Petroleum Corp.

January 24, 2006 12:45 ET

TransAtlantic Petroleum Corp.: Announces U.S. Operations Update-Acquisition of Shallow and Deep Rights at Gillock

CALGARY, ALBERTA--(CCNMatthews - Jan. 24, 2006) - TransAtlantic Petroleum Corp. (TSX:TNP.U) is pleased to update its operational activities on its South Gillock and State Kohfeldt Units ("Gillock") covering 6,000 acres in Galveston County, Texas.

TransAtlantic acquired 100% of the working interest in Gillock in April 2005. The Gillock acquisition covered rights only to the Big Gas Sand in the Frio formation (ranging from 7,200 to 9,500 feet in the unit). The Company recently concluded farmout agreements with BP America Production Company ("BP") covering the northern portion of the South Gillock Unit (2,731 acres); an area which includes the potentially productive gas cap. Pursuant to the agreements with BP, the Company has acquired both the shallow rights (surface to the Big Gas Sand formation - 3 year term) and deep rights (below Big Gas Sand to 16,000 feet - 2 year option extendable for an additional 2 years).

Upon acquisition of Gillock, the Company engaged in an extensive geological and operational review. The majority of wells at Gillock were completed and produced only from the Big Gas Sand formation. Accordingly, as its initial workover program, the Company re-entered and obtained modern logs (PDK) in 8 wells to identify remaining Big Gas Sand reserves as well as potentially productive shallower pay zones. These efforts led to recompletion of the SGU #83 well in the Big Gas Sand formation in December which boosted Gillock gas production from 300 mcf/day to over 900 mcf/day; oil production from the SKU #18 remains steady in the 16-20 barrel per day range. In addition, these efforts identified a number of wells with shallow pay potential.

The Company has now commenced the next phase of its Gillock workover program and over the next few months, recompletions will be attempted in up to 8 wells targeting either the Big Gas Sand formation or the recently acquired shallow formations. In addition, the Company has contracted for a drilling rig to drill a Big Gas Sand test well to be located in an un-drilled area of the gas cap commencing in June. This well will also test the deeper middle and lower Frio horizons.

TransAtlantic is engaged in the exploration, development and production of crude oil and natural gas in the USA, has interests in Morocco, Turkey and the North Sea and is pursuing other foreign opportunities. More information about TransAtlantic can be found at its website:

This press release includes projections and other "forward-looking" statements. All statements other than statements of historical facts included in this press release, including statements regarding projected reserves and upside potential are forward-looking statements. The statements involve risks that could significantly impact TransAtlantic Petroleum Corp. These projections and statements reflect the Company's current views with respect to future events and financial performance. No assurances can be given that these events will occur or that these projections will be achieved and actual results could differ materially from those projected. Important factors that could cause actual results to differ from the Company's expectations include, but are not limited to, adverse general economic conditions, operating hazards, drilling risks, inherent uncertainties in interpreting engineering and geological data, competition, reduced availability and costs of drilling and other well services, fluctuations in oil and gas prices, government regulation and foreign political risks, as well as other risks.


Contact Information

  • TransAtlantic Petroleum Corp.
    Scott C. Larsen
    (214) 220-4323
    TransAtlantic Petroleum Corp.
    5910 N. Central Expressway, Suite 1755
    Dallas, Texas 75206