Nitro Petroleum Purchases Working Interest in Bigoray Project
Nitro Petroleum has finalized the purchase of a working interest in two gas wells in the Bigoray area of West Central Alberta. On June 18th, Nitro Petroleum announced that they were in final negotiations for this project, which was expected to produce about 570,000 cubic feet per day or approximately 100 barrels of oil equivalent per day. The operator based this estimate on the fact that the first well went on line at 400,000 cubic feet per day and the B well would produce approximately 200,000 cubic feet day.
Nitro is pleased to report that the operator has just concluded its initial testing of the B well and it has tested at 530,000 cubic feet per day with 12/bbls of liquids per day. The liquids contain propane, butane and light gravity oil which will be sold at a 15% premium to the daily price of crude oil. The Operator reported that they expect the well to stabilize in the next week or two to get a final accurate flow rate.
Larry Wise, President of Nitro, stated, "This news on the B well test could possibly double the expected production on this 2 well project. We are in discussions to participate in the Operators entire portfolio of properties in Alberta, Canada. The Operator owns 11.5 kms (approx. 8 miles) of there own pipeline and other oil and gas infrastructure which will speed up tie ins of several other prospective wells."