Sundance Energy Production Tests Stacked Zones of Light Oil on Its Central Alberta Alexander Property
CALGARY, ALBERTA - Sundance Energy Corporation ("Sundance" or the "Corporation") (TSX VENTURE:SNY) (OTCQX: SNYXF) is pleased to announce that it has completed the testing of its first well drilled on its jointly held (50% working interest) Alexander First Nations Permit in Central Alberta (the "Alexander Permit"), which is comprised of 17,280 gross contiguous acres (27 sections).
The Sundance ALEX 16-11-56-27 W4M well ("16-11 well") was drilled vertically to a depth of 1,306 meters and encountered sweet, light oil in both the Alexander and Detrital sands within the Lower Mannville Group. Both zones were individually stimulated and swabbed to recover most of the load fluid prior to testing. Final swab rates for the Alexander sand was 7.6 bbl/hr of oil while the Detrital sand swabbed at 2.7 bbl/hour of oil. The final swab rates for the combined zones totaled 10.3 bbl/hr of oil (247 barrels of oil per day). Plans are underway to equip and place the 16-11 well on production as soon as possible, which is anticipated to occur within the next 30 days. Although initial productive test rates may not be indicative of long-term performance and ultimate reserve recovery, Sundance is very excited about confirming light oil production from both formations that produce oil commercially in the area.
Sundance and its partner have commenced a 9 square mile 3-D seismic program covering the north-east portion of the Alexander Permit. The seismic work is near completion and is scheduled to be delivered to the processors within a week. Sundance and its partner are now in the process of planning a multi-well step-out drilling program on the Alexander Permit to follow up on the success of the 16-11 well. The drilling locations for the program will be determined following the interpretation and analysis of the 3-D seismic results.
(Marketwire - April 2, 2012)