Cygam to Deploy Coiled Tubing Unit at Posta Piana 1

Cygam Energy Inc. said that the drilling rig at the Posta Piana 1 well has been released after four zones were perforated. Two of the zones have been opened but failed to produce gas on initial test.

After the rig moves off site, Cygam intends to assess further testing of all the zones of interest using a coiled tubing unit rather than the more expensive drilling rig. Potential artificial fracturing and stimulation of some zones of interest will also be considered. Independent log evaluation, which indicated the presence of four potential gas-bearing zones, will be further assessed against data from the Cervaro #1 well located approximately 200 meters away.

Cygam is a Calgary-based exploration company with producing oil and gas properties in Canada and extensive international exploration concessions. The main focus of the corporation is the acquisition, exploration and development of international oil and gas permits, primarily in Italy, Tunisia and the Mediterranean basin. Cygam currently holds various interests in five exploratory concessions in Italy and four exploratory concessions in Tunisia encompassing approximately 4 million gross acres (approximately 2.7 million net acres).