Newport Exploration Ltd.: Update on Developments in Cooper Basin, Australia
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan 30, 2015) - Newport Exploration Ltd. ("Newport "or "the Company") (TSX VENTURE:NWX) is pleased to provide an update on drill results and successful conversion of Exploration Licenses ("PEL's") to Production Licenses ("PRL's") in the Cooper Basin in Australia, which are subject to the Company's 2.5% gross overriding royalty.
Production Retention Licenses Granted
Beach Energy Ltd ("Beach") reports that on PEL 91, twenty-two Production Retention Licenses have been granted with designation numbers PRL 151 to PRL 172 which secures tenure for this Western Flank oil operation for up to 15 years.
Beach also reports that on PEL 106, two PRL's have been granted with designations number PRL 129 and 130, which secures tenure for this Western Flank wet gas operations for up to 15 years.
PRL's 151 to 172 (Formerly PEL 91)
Beach reported that drilling continued during the December quarter on the PRLs 151 to 172 and PPLs 253 to 256, formerly known as PEL 91. Six new Bauer development wells, Bauer-14 to -19, were all cased and suspended as future oil producers. As reported by Beach in their Quarterly Report ending December 31st 2014, and in a news release dated January 29th, 2015, oil production increased 3.5% to 423 kbbl (net), mainly due to higher production from the Bauer field. Bauer-12 and -13 came online last year and contributed a full quarter of production. Bauer-14 and -15 were brought online in December 2014 and the Bauer-16 to -19 wells will be brought online early this year. Infrastructure upgrades continued, including flowline de-bottlenecking and preparation for fluid handling capacity increases at the Bauer facility.
The Bauer-16 to -19 wells are part of a broader full field development plan aimed at optimising production through the development of the highly productive Namur Sandstone reservoir. Following the success of the four-well pad drilling program in the December quarter, Beach has brought forward the drilling of an additional four development wells, with Bauer-20 to -23, starting in early 2015.
Hanson-2 was drilled as a development well approximately 450 metres to the east of the currently producing Hanson-1 well. Hanson-2 was cased and suspended as a future Namur Sandstone and McKinlay Member oil producer. The well intersected the target top Namur Sandstone with six metres of net oil pay in the McKinlay Member and Namur Sandstone reservoirs.
Well | High / (Low) | Namur | McKinlay | |
Bauer-14 | (0.6 | ) | - | 4.1 |
Bauer-15 | 2.2 | 5.5 | 4.3 | |
Bauer-16 | (1.1 | ) | 3.5 | 4.5 |
Bauer-17 | 3.1 | 5.5 | 4.2 | |
Bauer-18 | 0.7 | 6.6 | 4.2 | |
Bauer-19 | 4.2 | 8.7 | 3.9 |
PRLs 129 and 130 (formerly PEL 106)
Sales gas and LPG production increased 25% to 89 kboe (net), mainly due to limited downtime at the Moomba processing facility. Condensate production decreased 30% to 9.5 kboe due to reduced gas flow from Canunda-1.
The five-well exploration and appraisal campaign, which is proximal to the existing Canunda field and gas pipeline to Middleton, is near completion. The program is targeting gas and gas liquids in the Patchawarra Formation and Tirrawarra Sandstone. The Ralgnal-1 exploration well spudded and is currently drilling ahead.
The Company continues to strongly encourage shareholders and potential investors to access information released independently by Beach and Drillsearch Energy Limited in order to keep current during an active period in the exploration and development of these permits.
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 accuracy or adequacy of this news release.
Cautionary Statement on Forward‐Looking Information
This news release, which contains certain forward-looking statements, is intended to provide readers with a reasonable basis for assessing the financial performance of the Company. All statements, other than statements of historical fact, are forward-looking statements. The words "believe", "should", "could", "expect", "anticipate", "contemplate", "target", "plan", "intends", "continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward-looking statements. These forward-looking statements pertain to assumptions regarding the price of oil, fluctuations in currency markets (specifically the Australian dollar and the U.S. dollar), the future funding of the Company's projects, and the future development of the Company's projects. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, which considered reasonable by the Company, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to, the risk of fluctuations in the assumed exchange rates of currencies that directly impact the Company, such as the Canadian dollar, Australian dollar and U.S. dollar, the risk of fluctuations in the assumed prices of oil, the risk of changes in government legislation, taxation, controls, regulations and political or economic developments in Canada, the United States, Australia or other countries in which the Company carries or may carry on business in the future, risks associated with developmental activities, the speculative nature of exploration and development, including the risk of obtaining necessary licences and permits, and assumed quantities or grades of reserves. Many of these uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those acknowledged in such statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.
