VANCOUVER, BRITISH COLUMBIA, June 3, 2014 (GLOBE NEWSWIRE) -- via PRWEB - Saturn Minerals Inc and Vector Exploration Corp. have mutually agreed to amend an existing farm-in agreement for the Little Swan and Bannock Creek properties, two of the largest oil and gas permits in Saskatchewan. Under the 50/50 joint venture agreement each company will retain 50% working interest in both properties.
Stan Szary, Saturn President and CEO, a native of Saskatchewan recalls, "This part of the Williston Basin was sparsely explored but it was always believed to hold oil."
While exploring a substantial coal seam Saturn had discovered, drills showed what appeared to be oil source rock with total organic content as high as 17% and exhibiting signs of oil generation. This prompted further investigation. While searching through the province's archives, Saturn found information documenting the first known oil discovery in the area, the Trail Blazer Oil Discovery, made in 1935 near the town of Hudson Bay. Continued geophysical work on Saturn's lands, including examining dozens of government files on potash, coal and water wells drilled since the 1970s, created a compelling case for a live petroleum system in the area; Stated Szary, "almost every hole drilled in this part of the basin, whether for coal, potash or water, has not gone very deep, but an overwhelming number of them have encountered some signs of oil & gas activity from deeper in the basin. Most of it is very faint, so you would not necessarily notice it unless you were specifically looking for it. We were, and the evidence is compelling."
Late in 2011 Saturn began the process of assembling land and bidding on oil rights, eventually resulting in a Special Exploration Permit. An aerial survey to determine depth showed a large depression over 1000 meters deep. Further work showed both porous rock and cap rock and additional historic evidence of live oil seeps at surface were discovered.
"Saturn's mission" says Szary, "is to find oil in this part of the Williston Basin, creating a new oil play in Western Canada." To accomplish that Saturn has assembled a very large land package (over 370,000 acres), which includes oil rights in every zone, from surface to basement, with a permit life of up to 8 years.
"We have partnered with a well known, highly respected team gathering detailed data, including comprehensive seismic data, to put together viable drill targets." That partner is Vector Exploration Corp., a private Calgary based company owned by long time oil executive Murray Swanson, who in addition to 30 years of oil and gas industry experience in western Canada has international experience, has worked for major companies including Shell and Chevron, and has founded, operated, and sold several Private E&P and service companies.
Joining CEO Swanson on the Vector team is President and COO Christopher Barton who also has more than 30 years industry experience in western Canada, much of it in southern Saskatchewan. Barton's experience includes well-known companies like Unocal Canada, Conoco Canada, Pinnacle Resources, Paramount Resources and Kereco Energy. Since 2008 he has been President of Shadow Energy providing geophysical consulting to many public and private oil and gas companies.
Also on board is Craig Boland. During his 28 year career he has held Senior and Executive positions with Major and Junior Exploration and Production Companies both domestically and internationally where he has been instrumental and created significant returns to shareholders. These companies include Texaco Canada, Imperial Oil and Gas, Intensity Resources, Archean Energy, Grizzly Resources, Ironhorse Oil and Gas and Century International. Boland was the Vice President of Exploration and founding partner for both Grizzly Resources and Ironhorse along with being the Managing Director of Century International Oil and Gas where he was responsible for all of Archean Energy's international exploration operations including West Africa and the United Kingdom. Besides these regions he has explored and operated in Western Canada, Offshore Eastern and Northern Canada, South America, West and North Africa, South East Asia, onshore US and Gulf of Mexico. Since early 2007 Boland has been the Principal of Boland Exploration Consulting where he has been providing technical evaluations, opinions, financing, energy advice and has been facilitator/broker for both startup and established energy firms worldwide.
Prior to founding Vector Exploration Corp Swanson as CEO and President and Barton as Manager of Geophysics, ran Reliable Energy Corp., an oil and gas exploration and production company which successfully identified and drilled over 70 wells in Manitoba and southern Saskatchewan, achieving 1100 barrels per day in oil production (100% oil) before being sold to Crescent Point Energy Corp in 2012 for just under $100 million.
Discoveries to date in the Williston Basin show estimated ultimate recoveries of more than 3.8 billion barrels of oil. The Little Swan and Bannock Creek properties are expected to be a conventional oil play with no horizontal drilling required and no fracking. Drill costs are expected to be in the range of $500,000 to $600,000, about one tenth of the cost of horizontal drilling.
What's next? Over the next 30 to 60 days the team will be completing the final seismic survey, confirming their drill targets and putting together schedules and budgets for drilling.
Saturn Minerals Inc. trades on the TSX.V (SMI) and the FSE (SMK). To learn more contact the company at 604-685-6989 or go to http://www.saturnminerals.com.
|Saturn Minerals Inc.|
|+1 (604) 685-6989|
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