Ensign Rig Heads to PetroFrontier's MacIntyre Well

PetroFrontier Corp. announced that Ensign's Rig 918 is currently mobilizing to the MacIntyre-2 well site location in the northeastern corner of EP 127 in the Southern Georgina Basin, Northern Territory. It is expected that the Ensign drilling equipment will be onsite by early June 2012 and that the Southern Georgina Basin operational activities will resume during the week of June 4, 2012.

This first phase of the 2012 capital program will focus on the drilling of the horizontal leg at MacIntyre-2, which is expected to take approximately two weeks. Once the drilling is completed, PetroFrontier will have earned a 75 percent working interest and operatorship in EP 127.

After drilling MacIntyre-2H, the Ensign rig will re-locate approximately 186 miles (300 kilometers) to the eastern border of EP 104 to drill a high angle pilot hole at the third location, Owen-3 in EP 104 (100 percent working interest) and if PetroFrontier considers conditions to be favorable, a subsequent horizontal section at that same location. Mobilization of Ensign Rig 918 to the Owen -3 well site is anticipated to take one week, with the expected drilling timeline for the vertical and horizontal sections at Owen-3H being approximately four weeks.

Subsequent to this drilling activity, the second phase of the 2012 capital program will commence with the mobilization of a coil tubing unit and service rig for the completion, fracturing and flow testing of Baldwin-2Hst1 (EP 103), MacIntyre-2H (EP 127) and Owen-3H (EP 104), in that order. Both the Baldwin-2Hst1 and the MacIntyre-2 wells encountered very encouraging hydrocarbon responses while they were being drilled in the latter part of 2011.

This type of unconventional oil play requires the use of advanced horizontal drilling and completion techniques to be economic, and the use of proven North American technologies is expected to give PetroFrontier a good chance of establishing commercial production.


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