Dejour Drills 3rd Successful Well in Canada

Dejour has logged and is now casing its third oil well at this 6000 acre property, located 85km north of Ft. St. John in Northeastern British Columbia. The well was drilled to the seismically defined southeast edge of the Halfway reservoir in anticipation of a waterflood commencing as early as the first quarter of next year. It encountered slightly more than two meters of high quality oil sand and will be completed initially as an oil producer.

This well is expected to be placed on production prior to the end of October, at an initial rate of 300-400 barrels of oil per day (BOPD), bringing the field oil production to more than 700 BOPD and total field production to between 1100 and 1200 barrels of oil equivalent (BOE) per day. Dejour is the project operator and a 75% WI owner.

"This is the first well of a two well program to be carried out during the fall drilling season. The program is designed to increase daily production and confirm our seismic interpretation of sufficient oil in place for the implementation of a waterflood in the Halfway Sand. We are pleased with the results of the first well, proving the extension of the reservoir to the south and east of discovery well D-91-H. The second well, if successful, will extend the proven reservoir to the north of well A-1-I and trigger the waterflood implementation, potentially increasing recoverable reserves from this pool by more than 100%," commented Harrison F. Blacker, M.Sc. M.Eng., President and COO of Dejour, and the qualified person for this release.


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