Dejour Enterprises announced the results of its year-end reserve assessment for its wholly-owned subsidiary Dejour Energy. The reserve evaluation was conducted by independent, global consultants Gustavson Associates, of Boulder Colorado, a qualified resource evaluator, and was prepared in accordance with Canada's National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities and the COGE Handbook. The forecast prices are based on December 31, 2009 NYMEX futures strips prices prepared by Gustavson and adjusted for the appropriate transportation differentials.
All Proved and Probable Reserves are attributed to the Mesaverde (Williams Fork) Formation underlying the Company's leasehold at Gibson Gulch. In this area, the Mesaverde Formation is a 2500 ft. thick section of tight gas sands, with an anticipated ultimate recovery per well of 1.65 Billion Cubic Feet of gas. Utilization of enhanced fracture stimulation technology over the past few years has enabled production rate increases of 50-100% in this formation. Antero, Barrett and Williams Co. have operations bordering Dejour's Gibson Gulch holdings. Williams entered the area via purchase of bordering acreage in 2009. Of note, Dejour's Gibson Gulch leases make up less than 2% of Dejour's leasehold in Colorado and Utah.
The year-end reserve report also assesses the Gross Prospective Resource for Dejour's entire leasehold position in Colorado and Utah. This assessment yielded a statistically derived Prospective Resource Best Estimate, net to Dejour, in excess of 124 million barrels of oil and 1.4 trillion cubic feet of gas from formations under Dejour's leasehold, other than Gibson Gulch.
"Dejour is fully engaged in developing its exploitation plan for Gibson Gulch, where we are already looking beyond the Mesaverde to the deeper Mancos Shale as a target," said Harrison Blacker, President & COO. "We are actively permitting drilling locations on other leases in the Piceance to advance our exploration program in 2010. The significant increase in our Proved Reserves during a year of reduced industry drilling activity demonstrates the value of Dejour's strategy to focus on key Piceance Basin properties."
Dejour will provide detailed information on its reserves when it files its Annual Information Form at the end of March 2010. Harrison F. Blacker, M.Sc. is the qualified person for Dejour's oil and gas projects.
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