CALGARY, ALBERTA--(Marketwired - Aug. 14, 2013) -
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR DISSEMINATION IN UNITED STATES
Iona Energy Inc. ("Iona" or the "Company") (TSX VENTURE:INA) announces an operational update related to its Huntington Oil Field located in the UK North Sea.
Iona has been notified by the operator of the Huntington Field, E.ON Ruhrgas UK E&P, that production was temporarily shut-in on August 8th, 2013, due to operational safety procedures associated with the production facility, specifically relating to cargo tank venting activities during low wind conditions. Prior to the shut-in, Huntington Field production peaked at around 26,700 boepd. Production is expected to resume during the week of August 18th. Additionally, as soon as the full commissioning and stabilization of the second gas compression stream occurs, referred to as Train A, production from the Huntington Field is expected to reach full capacity. This commissioning is unaffected by the temporary shutdown and is still expected to occur before the end of August 2013.
As mentioned above, production from the Huntington Oil Field peaked at approximately 26,700 boepd gross (23,364 bopd of oil and 19.6 MMcfpd of natural gas), prior to the shut-in, representing 4,700 boepd for Iona's net economic interest of 17.55%. Iona's overall corporate production is expected to increase to over 7,500 boepd as Huntington reaches full capacity.
The working interests in the Huntington field are E.ON Ruhrgas UK E&P (25% Operator), Premier Oil plc (40%), Norwegian Energy Company ASA (20%), and Iona (15%). In addition to the working interest, Iona holds a gross overriding royalty of 2.55% of the total Huntington production, payable from the Huntington Joint Venture Partners.
Additional information relating to the Company is available on SEDAR at www.sedar.com.
About Iona Energy:
Iona is an oil and gas exploration, development and production company focused on oil and gas development and exploration in the United Kingdom's North Sea.
Some of the statements in this announcement are forward-looking, including statements regarding Iona's business plans and production levels. Forward-looking statements include statements regarding the intent, belief and current expectations of Iona Energy Inc. or its officers with respect to various matters, including production, drilling activity or otherwise. When used in this announcement, the words "expects", "believes", "anticipate", "plans", "may", "will", "should", "scheduled", "targeted", "estimated" and similar expressions, and the negatives thereof, are intended to identify forward-looking statements. Such statements are not promises or guarantees, are based on various assumptions by Iona's management, including the assumption with respect to the timing and effects of commissioning gas compression systems for Huntington which are beyond Iona's control, and are subject to risks and uncertainties that could cause actual outcome to differ materially from those suggested by any such statements, including without limitation, the risk of unanticipated delays impacting production rates at Huntington. These forward-looking statements speak only as of the date of this announcement. Iona Energy Inc. expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained herein to reflect any change in its expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based except as required by applicable securities laws.
Notes Regarding Oil and Gas Disclosure
As used in this press release, "boe" means barrel of oil equivalent on the basis of 6 mcf of natural gas to 1 bbl of oil. Boes may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Additionally, this press release uses certain abbreviations as follows:
|Oil and Natural Gas Liquids||Natural Gas|
|bbls||barrels||mcf||thousand cubic feet|
|MMbbls||millions of barrels||MMcf||million cubic feet|
|MMboe ||million barrels of oil equivalent ||MMcfpd||million cubic feet per day|
|boepd||barrels of oil equivalent per day|
|bopd||barrels of oil per day|
Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.