Transeuro Energy Corp.

Transeuro Energy Corp.

May 05, 2011 06:00 ET

Transeuro Energy Corp.: Ukraine Test 3&4 Commenced

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 5, 2011) -Transeuro Energy Corp. (TSX VENTURE:TSU)(OSLO:TSU) ("Transeuro" or the "Company") issues and update on its Ukraine operations as follows:

Operations are now underway for 'Test 3&4 combined' to complete the testing programme on the Karl-101 well. The C12 and C13 intervals will be tested together including 41m of perforations in the C12 over the interval 3,107 to 3193m and 44 metres of perforations in the C13 over the interval from 3,220 to 3,321 metres. These top intervals contain numerous 'reservoir sections' including the best quality reservoir section in the well, located at the top 30m of the C12 and are thought to contain 'fracture zones' that will allow for higher flow rates. These intervals represent around 55% of the total reservoir.

After completing 'Test 2' the packer and perforating guns were recovered from the wellbore and established that all the guns fired as planned and the downhole pressure data was recovered. In order to proceed with 'Test 3&4' the perforation intervals of 'Test 2' have been temporarily suspended below a drillable bridge plug so that the interval can be accessed later for production. Samples of gas and condensate were collected and have been sent for analysis.

The President & CEO, David Worrall commented, "The C12 and C13 are expected to be the same reservoir pressures, making it practical to combine the tests and to collect accurate data on the 'upper' reservoir. The data collected so far suggests the C14 and C15 comprise a separate 'middle' reservoir and the C16 is the 'lower' reservoir. These reservoirs are isolated from each other and are expected to produce different results during testing. The better reservoir quality of the C12 should deliver higher flow rates and if we connect into a number of open natural fractures anywhere in the C12 or C13 we can achieve the target rate of approximately 5 mmcf/d."

Transeuro is involved in the acquisition of petroleum and natural gas rights, the exploration for, and development and production of crude oil, condensate and natural gas. The Company's properties are located in Canada, Armenia, and Ukraine. In addition, the Company holds a back-in option to Eaglewood Energy Inc.'s exploration licenses in Papua New Guinea.

On behalf of the Board of Directors

Aage Thoen, Chairman

When used herein, the term "boe" means barrels of oil equivalent on the basis of one boe being equal to one barrel of oil or NGLs or 6,000 cubic feet of natural gas (6 mcf: 1 bbl). Barrels of oil equivalent may be misleading, particularly if used in isolation. A conversion ratio of six mcf of natural gas to one boe is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.

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

Contact Information

  • Transeuro Energy Corp.
    Chris McGillivray, IR
    +1 604 728 0040

    Transeuro Energy Corp.
    David Parry, SVP
    +1 604 681 3939

    Transeuro Energy Corp.
    Karen Jenssen, IR
    +47 91 729787