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NYTIS EXPLORATION COMPANY – 2008 PINCHER CREEK ASSET SALE
NYTIS Exploration Company. (“NYTIS” or the “Company”) has
retained Rundle Energy
Partners (“Rundle”) as their exclusive advisor on the sale
of certain oil and gas assets (the
“Property”) in the Pincher Creek area of southern Alberta.
The property, located in Townships
003 to 005 and Ranges 28 to 29W4, consists of an average
25% working interest in over
26,880 gross acres of land with 8 gas wells producing from
the Mississippian Rundle A
reservoir. Gas is processed through Shell Canada Limited’s
Waterton gas plant, generating
significant additional revenue from liquids and sulphur.
First quarter 2008 average sales were
119 boepd, net to NYTIS including 19 Bpd of natural gas
liquids.
The Mississippian Rundle A pool is a world class reservoir
with cumulative production to date
of over 513 Bcf. The best well has produced over 75 Bcf.
The field has had an essentially flat
production profile for the last 10 years and has a reserve
life index of 27 years, based on
Proved Developed Producing reserves.
Reservoir production characteristics and reservoir
compartmentalization within Rundle thrust
sheets provide incentive for additional infill drilling.
Three locations have been identified
based on 3-D seismic and pressure data. A new horizontal
well was recently drilled and
completed in the northern part of the field.
Recent activity in the uphole Cretaceous Cadomin has
proven successful with the
announcement of a 250 Bopd discovery well at 01-11-004-29W4.
The well, in which the
Company has a GORR, proves up significant potential for
recompletions on Company
working interest lands.
An engineering report by Sproule Associates Limited,
effective December 31, 2007 assigned
Proved reserves of 1,371 MBoe and Proved plus Probable
reserves of 1,586 MBoe to the
Company’s interests. First quarter 2008 cash flow totaled
319 $M or 1,277 $M annualized.
A detailed Information Memorandum and Confidentiality
Agreement will be available shortly
for download on the Rundle website at www.rundleenergy.com.
Non-binding proposals are
due by 12 noon, July 3, 2008. Parties who sign a
Confidentiality Agreement will receive a
comprehensive Data Book and will have access to online and
physical Data Rooms.
For more information, please contact:
Rich Wickens
Managing Director
rwickens@rundleenergy.com
1-403-298-9730
Nytis Announcement
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REFERENCES
123
Weal\, n. [OE. wele, AS. wela, weola, wealth, from wel well. See Well, adv., and cf. Wealth.]
1. A sound, healthy, or prosperous state of a person or thing; prosperity; happiness; welfare.
God . . . grant you wele and prosperity. --Chaucer.
"wealth." Webster's Revised Unabridged Dictionary. MICRA, Inc. 20 Apr. 2008. .
wealth
c.1250, "happiness," also "prosperity in abundance of possessions or riches," from M.E. wele "well-being" (see weal (1)) on analogy of health. Wealthy as a synonym for "rich" is recorded from c.1430.
American Psychological Association (APA):
wealth. (n.d.). Online Etymology Dictionary. Retrieved April 20, 2008, from Dictionary.com website: http://dictionary.reference.com/browse/wealth
4
Personal Vistatm:
personal vista. a self-help guide to happiness, fulfillment and seeing yourself; currently in development by RL. Crosses religious and non-religious philosophies with a purpose toward personal enlightenment and peace.
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