ANNOUNCES TEST RESULTS FROM ITS 2-20-70-6W6 MIDDLE MONTNEY DELINEATION WELL AT ITS PIPESTONE/ELMWORTH MONTNEY PLAY
Blackbird Energy Inc. (BBI.V) has released test results from its 2-20-70-6W6 Middle Montney delineation well, which is located on the company's eastern multi-interval delineation block, and is more than five kilometres east of Blackbird's previous operated development drilling.
"We are pleased to announce the successful testing of our 2-20-70-6W6 Middle Montney Delineation well at a short-term rate of 1,163 boe/d, including 824 bbls/d of condensate. This test represents our highest condensate rate from the Middle Montney to date, and we believe further confirms the multi-interval potential of Blackbird's lands, which are situated in what we consider to be one of the most liquids-rich corridors in the entire Montney fairway," said Garth Braun, President, CEO and Chairman of Blackbird.
Middle Montney Delineation Test: Blackbird's 2-20-70-6W6 Middle Montney Delineation well flowed at an average rate of 1,163 boe/d (73% liquids, condensate/gas ratio of 454 bbls/mmcf) over the final 72 hours of a 10-day production test.
Estimated Behind Pipe Volumes: Subject to the tie-in of the 2-20-70-6W6 Middle Montney Delineation well, management estimates Blackbird's current productive capacity from its 9 (9.0) operated wells south of the Wapiti River to be approximately 4,800 boe/d.
Advancing Multi-Interval Delineation: Blackbird will begin testing its 3-27-71-7W6 Upper Montney Delineation well, which is approximately 14 kilometers north of previous development drilling, in mid-February.
Middle Montney Delineation Test
Blackbird is pleased to provide test results from its 2-20-70-6W6 Middle Montney Delineation well, which is located on the Company's Eastern Block and is more than five kilometers east of Blackbird's previous operated development drilling, as detailed below:
Final 72 Hour Rate of 10 Day Production Test (1) (2) (3) Natural Lateral Well Condensate Gas NGL CGR (4) Total Length (bbl/d) (mcf/d) (bbl/d) (bbls/mmcf) (boe/d) (meters) 2-20-70-6W6 (Middle Montney) 824 1,877 28 454 1,163 2,256 1) Numbers may not add due to rounding. 2) All disclosed production rates and volumes are presented net of any load fluid recovery. By the end of the 10-day production test period the well had recovered approximately 12% of load frac water. 3) All volumes are based on estimated sales production data. 4) Condensate/gas ratio (CGR) includes condensate and NGL production.
The Company cautions that short-term test rates are not necessarily indicative of long-term well or reservoir performance or of ultimate recovery. See "Short Term Test Rates" below.
The 2-20-70-6W6 Middle Montney Delineation well was drilled to a total depth of 4,885 meters with a lateral of 2,256 meters and completed over 36 intervals. The well was completed with a single perf cluster per frac utilizing Plug and Perf technology to simulate a pinpoint completion. Approximately 4,008 tonnes of sand was placed representing a completion intensity of approximately 1.8 tonnes per meter. The well was flowed up casing on clean-up for approximately 10 days. Over the final 72 hours of production testing, prior to running production tubing, the well flowed at an average rate of 1,163 boe/d (73% liquids, CGR of 454 bbls/mmcf). At the end of the test period the well had recovered approximately 12% of load frac water.
Estimated Behind Pipe Volumes
Including the 2-20-70-6W6 Middle Montney Delineation well, Blackbird has now drilled, completed and tied-in or tested a total of 9 (9.0 net) operated wells. Subject to the tie-in of the 2-20-70-6W6 well to the Company's 100% owned and operated Pipestone/Elmworth gas processing facility, management estimates the unrestricted flowing productive capacity of these wells to be approximately 4,800 boe/d based on the Company's own production test data. The Company cautions, however, that future production and reservoir performance cannot be predicted with certainty and may be less than estimated, and may also be subject to factors that restrict production to a level below an unrestricted flowing productive capacity. Blackbird is currently subject to a take-or-pay gas handling agreement for firm transportation and processing of sour natural gas that limits the Company to approximately 6.0 mmcf/d of natural gas and associated liquids.
Advancing Multi-Interval Delineation
Blackbird will begin testing its 3-27-71-7W6 Upper Montney Delineation well, which is approximately 14 kilometers north of previous development drilling, in mid-February. Test results are expected before the end of March, and will include reservoir pressure data as well as condensate-to-gas ratios. If successful, the Company believes that these results will support its view that the majority of Blackbird's Montney land is situated in the over-pressured liquids-rich corridor.
Blackbird Energy Inc. is a highly innovative oil and gas exploration and development company focused on the condensate and liquids-rich Montney fairway at Pipestone/Elmworth, near Grande Prairie, Alberta.