DMT Energy Strikes Gas with 1st Well in Alberta
|Thursday, December 04, 2003
DMT Energy has drilled its first well at Acadia, Alberta, Canada and struck gas. Initial reports indicate presence of gas and porosity in multiple zones, which will be confirmed by testing in the coming days.
Fred DaSilva, DMT CEO, announced, "We are optimistic about our initial success in the Acadia prospect. We believe that we will have the potential for a significant well that will help us move forward faster than expected on our other joint venture projects. With the attractive prospects that we have obtained and our partnership with notable Canadian explorationists, combined with our business management team, we are extremely confident in our future and success."
"We expect to issue further progress reports of our results in the Acadia well once the information becomes available." continued DaSilva.
For its participation, DMT pays 50% of drilling and completion costs to earn a 37.5% Working Interest. Acadia is a shallow depth Cretaceous gas prospect targeted primarily at the Viking/Bow Island formation; seismic and well logs also indicate the possibility of hydrocarbon traps in the slightly deeper Cretaceous Lower Mannville Group. Total costs for DMT's participation are estimated to be in the order of $140,000 and payout is expected within 4-6 months from drilling and completion.