DGAP-Adhoc: Deutsche Rohstoff AG: Elster Oil & Gas publishes production data from six additional horizontal wells

Deutsche Rohstoff AG  / Key word(s): Miscellaneous

31.08.2016 10:08

Disclosure of an inside information according to Article 17 MAR,
transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Deutsche Rohstoff: Elster Oil & Gas publishes production data from six
additional horizontal wells
2.700 Barrel Oil Equivalent per day during first month of production

Heidelberg/Denver. Elster Oil & Gas, a 93% subsidiary of Deutsche Rohstoff,
announced the production rates from 6 new horizontal wells that commenced
production end of July. All wells combined produced an average of 2.700
barrel oil equivalent (boe) per day during the first 30 days of production
(IP 30). Elster's working interest averages at 50%, equivalent to 1.350 net
BOE per day.

Production rates of the new wells are generally in line with expectations
with oil production being above expectations. The new wells are all
Niobrara wells whereas four of the first five wells drilled in 2015 were
Codell wells. Typically, wells from both formations roughly produce the
same amount of oil and gas over the lifetime of the well. However, Codell
wells in this part of the field tend to produce very strong rates at the
beginning with steeper declines after the first months of production.

Thomas Gutschlag, CEO of Deutsche Rohstoff, said:"The initial production
results are very positive. The wells deliver constant rates in line with
expectations or better. The second set of wells drilled since 2015 do again
confirm the excellent predictability of the development in Colorado."

Elster will receive income from mineral rights (royalties) for the first
time over the coming months. These royalties belong to Elster's 100%
subsidiary Diamond Valley LLC, where the lease owner has recently drilled
nine horizontal wells. These wells commenced production in July. As a
mineral owner, Elster did not have to finance the drilling nor does it have
to fund the ongoing operations.

Heidelberg, 31 August 2016

Deutsche Rohstoff identifies, develops and divests attractive resource
projects in North America, Australia and Europe. The focus is on the
development of oil and gas opportunities within the United States. Metals,
such as gold, copper, rare earth elements, tungsten and tin complete our
portfolio. For more information please visit www.rohstoff.de.

Contact:

Deutsche Rohstoff AG
Thomas Gutschlag
Tel. +49 6221 871 000
info@rohstoff.de


31.08.2016 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Archive at www.dgap.de

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Language:     English
Company:      Deutsche Rohstoff AG
              Friedrich-Ebert-Anlage 24
              69117 Heidelberg
              Germany
Phone:        06221-87100-11
Fax:          06221-87100-22
E-mail:       gutschlag@rohstoff.de
Internet:     www.rohstoff.de
ISIN:         DE000A0XYG76, DE000A1R07G4, 
WKN:          A0XYG7, A1R07G
Indices:      Entry Standard (Performance TOP 30)
Listed:       Regulated Unofficial Market in Berlin, Dusseldorf, Stuttgart,
              Tradegate Exchange; Open Market (Entry Standard) in Frankfurt
 
End of Announcement                             DGAP News-Service
 
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