BRIDGEWATER, Nova Scotia, Nov. 14, 2001 (PRIMEZONE) -- Osprey Energy Ltd. (CDNX:OEL) (Tier I) is pleased to announce that it has completed the first phase of remedial work on seven wells in its Bayou Choctaw Field in southern Louisiana. This work will also allow a complete evaluation of the well perforations preparatory to performing well completions planned for phase two.
This initial phase has already achieved average production of 110 barrels of oil per day (BOD) and 250 thousand cubic feet of gas (MCFGD). The oil production is expected to more than double to 250 BOD by the end of the year as rebuilding of the field's infrastructure is completed. The natural gas production should remain fairly constant.
Over the longer term the Bayou Choctaw Field offers multiple developmental prospects, as a recent evaluation from 3D seismic has indicated untested fault blocks with significant hydrocarbon potential. The Company will be pursuing these opportunities as financing becomes available.
The Company is also in the process of securing the requisite leases in order to begin work on three recently acquired wells in its BVR Field. Those wells, the Strickland 17, the Churchman 9 and the Crosby 2, are expected to be brought into production early next year. Currently, there are three wells in the BVR Field, the Bailey 32, Temple 16 and Crosby 24, that are producing 130 BOD and 220 MCFGD. Remedial work for restoring production on the Crosby 36A should begin early in December.
In addition, the Company continues to produce about 40 BOD of net production from its two wells in the Livingston Field.
ON BEHALF OF THE BOARD OF DIRECTORS OF
OSPREY ENERGY LTD.
"R. Gary Malone"
President
"This release was prepared by management who take full responsibility for its contents. The CDNX neither approves nor disapproves of this news release".
WARNING: The Company relies on litigation protection for "forward-looking" statements.