Orca Exploration Touts 14% Increase in Proved, Probable Reserves
Since the Orca Exploration's incorporation in 2004, independent evaluation of the Songo Songo field's Additional Gas reserve has increased proven and probable ("2P") reserves 86% from 255 Bcf to 474 Bcf.
At year end 2007, Orca's independent reserve evaluator, McDaniel & Associates Consultants Ltd., increased its 2P estimate of Songo Songo recoverable reserves on a life of licence basis from 415 Bcf at year end 2006 to 474 Bcf. In addition McDaniel included a proven, probable and possible ("3P") category on a life of licence basis of 783 Bcf of recoverable Additional Gas reserves.
Provided the Songo Songo field pressure declines remain consistent with historical trends, and there is a successful drilling of an appraisal well at Songo Songo North, Orca anticipates that the 2P reserve estimates will increase to the level of the 3P number over time. Confirmation of Songo Songo's increased reserves has been achieved through diligent monitoring of the sub surface. The drilling of SS-10 has provided extensive data has on the field for the first time in 25 years as well as adding 80 Mmscf/d of deliverability when combined with the remedial work undertaken on SS-9. The well also contributed the major portion of the increase in reserves in 2007.
The Company remains committed to exploration for new oil and gas reserves. Orca is excited by its Songo Songo West exploration prospect that could add approximately 350 Bcf of reserves if gas is discovered. The Company intends to drill a vertical well on this prospect once a suitable jack-up rig can be contracted.