Petro River's Stake in Horizon Energy Advances
NEW YORK, Sept. 16, 2019 /PRNewswire/ -- Petro River Oil Corp. (OTCBB: PTRC) ("Petro River" or the "Company") provides shareholders with an update on its advancements in California and offshore U.K. and Denmark with Horizon Energy Partners, LLC ("Horizon"). The Company will continue to provide updates to its shareholders on these projects as they continue to develop and additional information becomes available.
Grapevine Project
The Grapevine Project in Kern County, California is currently producing from three Stevens Sand discoveries at a combined rate of 450 barrels of oil per day. The locations of the three discovery wells in the Grapevine Project were identified primarily from a 3D seismic survey acquired by Horizon in early 2017. Horizon plans to complete chemical treatments on two of the producing wells in order to increase flow rates which in the past have proved successful in increasing oil production. With three new discovery wells logistically spaced throughout Grapevine Project area, new inversion processing has recently been completed incorporating these wells. Horizon plans to drill an additional exploratory well on the Grapevine Project in the fourth quarter of 2019.
Mountain View Project
The initial discovery well in Mountain View Project in Kern County, California, the Stenderup 56X-28, is currently flowing at a rate in excess of 450 barrels of oil and 150 mcf of gas per day. From inception in August 2018, production through August 2019 has been approximately 185,000 barrels of oil. The 3D seismic survey data indicates the existence of a large reservoir surrounding the Stenderup 56X-28 well containing potentially significant oil reserves. A reprocessing effort has been initiated on the 3D seismic data set acquired in 2016 and 2017 over the Mountain View Project area, to more clearly image the subsurface opportunities. In October 2019, Horizon plans to drill an additional development well on the project, as well as complete construction on a new permanent production facility designed to accommodate up to 2,000 barrels of oil per day.
Offshore Denmark
Horizon owns a 50% shareholding interest in Ardent Oil Denmark ("Ardent'). Ardent's primary asset is an exploration license awarded by the Danish government containing the Jarnsaxa prospect. The project is a large, fractured-basement prospect analogous to several recent world-class discoveries. It has been mapped and interpreted on a recent-vintage, high-quality 3D seismic data. Ardent is currently reprocessing 125 square miles of the 3D data set to focus specifically on the fracture system and to select an ideal initial drilling location. The Jarnsaxa Project has substantial recoverable oil resource potential, and Ardent is in advanced discussions with several international oil companies interested in participating in the drilling of Jarnsaxa in 2020. In February 2019, Ardent applied for two new exploration licenses in the Danish 8th Offshore Licensing Round. Both licenses have been provisionally awarded to Ardent, and are awaiting final confirmation of award by the new government of Denmark.
Offshore United Kingdom
Horizon Energy Partners Limited (a wholly-owned UK subsidiary of Horizon), together with a recently-formed company, beneficially own the majority interest in four offshore petroleum licenses in the United Kingdom sector of the North Sea comprising of approximately 600,000 acres. These licenses are located in the heart of a large Zechstein and Carboniferous exploration trend on the Mid North Sea High in the northern part of the UK southern North Sea. This trend is prospective for large natural gas accumulations. Recently, significant interest has been generated in the area, notably by Shell Oil Company who is acquiring a new 3D seismic survey over a nearby license. A significant discovery was made several months ago in the same geological formation onshore on the coast of the United Kingdom and is presently being tested. Just to the west of the license position, a recently drilled offshore well penetrating the same objective intervals reached total depth and was tested.
In early July, the acquisition of a new 670 square kilometer multi-client 3D seismic survey, of which Horizon was the primary sponsor, was completed. The survey is currently being processed. The final PSTM data set is expected to be completed in the next several months. Advanced processing on the new data set is being considered to enhance the PSTM imaging and further lower the exploration risk. Arrangements for drilling an initial well will commence upon delivery of the processed data.
About Petro River Oil Corp (PTRC)
Petro River Oil Corp. (PTRC) is an independent oil and gas exploration company that utilizes 3D seismic technology to discover and develop oil and gas reserves in proven oil and gas basins. Its core acreage is located in Osage County, Oklahoma. Petro River's strategy is to apply modern technology, such as 3D seismic analysis, to exploit hydrocarbon-prone resources in historically prolific plays and underexplored prospective basins to build reserves and to create value for the Company and its shareholders. Petro River owns a 14.52% equity interest in Horizon Energy Partners, LLC and its President, Stephen Brunner, is also a member of the Board of Managers of Horizon Energy Partners, LLC. For more information, please visit our website at http://www.petroriveroil.com
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking and other statements that are not historical facts. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward looking statements will not occur, which may cause actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward looking statements. These forward-looking statements, projections and statements are subject to change and could differ materially from final reported results. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. Petro River assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additionally, Petro River undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect to the matters discussed above. Readers should also carefully review the "Risk Factors" in Petro River's annual report on Form 10-K, its quarterly reports on Form 10-Q, and other reports filed with the SEC under the Securities Exchange Act of 1934, as amended.
For additional information about Petro River Oil, please visit http://petroriveroil.com
Media Contact: Investor Relations
ir@petroriveroil.com
Telephone: +1(469)828-3900
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SOURCE Petro River Oil Corp.
