January 31, 2013 - Calgary, Alberta - Terra Nova Energy Ltd. ("Terra Nova") has committed to drill 3 wells, with an option on 2 additional wells with Hunt Energy & Mineral Pty. Ltd. ("Hunt Energy") a drilling contractor based in Adelaide, South Australia. The contract takes effect February 1, 2013. Terra Nova is in the process of tendering the road & lease construction and obtaining all regulatory approvals from DIMITRE, the government body for Southern Australia.
Terra Nova has identified four drill-able exploration prospects on the Mulka 3D seimic survey in PEL 112. These prospects display 4-way structural closure and are similar geologically to producing structures observed in the existing oil pools to the north, including the Butlers, Perlubie and Parsons fields. The principle target of the PEL 112 prospects is the Namur sandstone, a high quality reservoir that can produce at rates in excess of 1000 barrels of oil per day within individual wells within the aforementioned fields. Drilling is expected to start in the first quarter of 2013 and first of these wells is called Wolverine North-1.
"We are delighted to have signed up with Hunt Energy. We have secured an experienced driller in the Cooper Basin to keep our drilling program on schedule and I am looking forward to the spudding of our first well," said Henry E. Aldorf acting Chief Executive Officer.
About Terra Nova Energy Ltd.
Terra Nova Energy Ltd. is a Calgary based oil and gas company with a right to acquire up to a 55% working interest in two onshore petroleum exploration licenses ("PELs"), being PEL 112 and PEL 444, located on the western flank of the Cooper Eromanga Basin in the State of South Australia, Australia. Its common shares trade on the TSX Venture Exchange under the symbol "TGC".
For more information please contact:
Terra Nova Energy Ltd.
Henry E. Aldorf
Acting Chief Executive Officer
Telephone +65 65070213
Forward looking information
This news release contains forward-looking information relating to Terra Nova's intentions to conduct the seismic program and subsequent drilling programs and other statements that are not historical facts. Such forward-looking information is subject to important risks and uncertainties that could cause actual results to differ materially from what is currently expected, for example: risks related to oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, competition from other producers, inability to retain drilling rigs and other services, reliance on key personnel, and insurance risks. In making such forward-looking statements, Terra Nova has relied upon certain assumptions relating to geological settings, commodity prices, the stability of markets and currencies, the availability of capital, and Terra Nova's ability to continue with the seismic and drilling programs. You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While Terra Nova may elect to, Terra Nova is under no obligation and does not undertake to update this information at any particular time, except as required by applicable securities law.
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 adequacy or accuracy of this release.