Tay River Well a Duster for Shell Canada

Shell Canada Limited

Shell Canada reported Wednesday that the Shell Tay River Ricinus W 13-01-37-11-W5 well (Shell Canada Limited 75 percent) that was planned to appraise the extent of the Tay structure has reached total depth. This well confirmed the presence of gas in the Leduc reef at the location but the total pay thickness was insufficient for the well to be commercial.

This appraisal well has confirmed Shell Canada's ability to map significant structures that are technically complex; however it also highlights that reservoir thickness within these structures remains a risk. Recent pressure information from the discovery well (Shell Tay River Ricinus W 2-6-37-10 W5M) also supports that the Tay River structure is smaller than originally estimated and contains approximately 220 billion cubic feet of original raw gas in place.

The discovery well continues to produce at rates of approximately 90 million cubic feet per day and has produced over 35 billion cubic feet of raw gas since May 2005.

Although Shell Canada is not planning any additional wells on the original Tay River structure, the company continues to explore for other Leduc reef opportunities in the central Alberta region.