Jul. 6, 2011 (Marketwire Canada) --
CALGARY, ALBERTA --
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Americas Petrogas Inc. (the "Company" or "Americas Petrogas" or "API") (TSX VENTURE:BOE) announces that it now has a 90% working interest after closing the transactions involving the acquisitions of an additional 33% working interest in the Los Toldos I, II, III and IV blocks as well as an additional 19% working interest in Totoral, Yerba Buena and Bajada Colorada ("TYB blocks"), all of which are located in the Neuquen province in Argentina. The Company paid a total of US$4.6 million in cash for the acquisitions.
The Company has plans to drill a total of 8 wells, (4 on each of the 2 concessions) in 2011-12 for both conventional and unconventional targets.
|Los Toldos I, II, III, IV||93,203||147,163||230|
|Working Interest %||69%||90%|
The remaining 10% working interest on these blocks is held by the Neuquen province's Gas y Petróleo, which approved the transactions.
Together with API's Loma Ranqueles and Huacalera properties these large blocks lie along the north- south shale corridor where the Vaca Muerta and Los Molles are the rapidly emerging unconventional shale gas and shale oil targets. This has been substantiated by recent announcements from Y.P.F. Repsol and Apache Corporation describing both shale gas and oil discoveries in offsetting blocks, confirming the strategic location and prospectivity of the Company's land assets. Huacalera lies almost halfway between the Totoral-Yerba Buena-Bajada Colorada and Los Toldos properties and is the location of the Company's first Vaca Muerta shale gas pilot well being drilled by Apache. The well is currently approaching TD.
Barclay Hambrook, President and CEO of Americas Petrogas stated, "We are excited to have a 90% interest in such large acreage in the western region of the basin, which is known for conventional hydrocarbon occurrence and unconventional hydrocarbon potential. These blocks offer significant potential for unconventional shale gas, shale oil, tight gas as well as conventional oil and gas. This is clearly a milestone event in the Company's continuing growth."
About Americas Petrogas Inc .
Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has oil and gas interests in 16 blocks involving exploration, development and production. Americas Petrogas has proven conventional oil and gas reserves, as well as evolving unconventional resource plays including shale gas, shale oil, and tight sand oil and gas in Argentina's prolific Neuquen basin. For more information about Americas Petrogas, please visit www.americaspetrogas.com.
About Vaca Muerta Shales
The Vaca Muerta Shale is one of two principal source rocks in the Neuquen Basin of Argentina. The shale is late Jurassic-early Cretaceous in age, covers an area of approximately 8500 square miles, varies in depth between 5,500 to 14,000 feet and in places is up to 2,000 feet in thickness.
The Vaca Muerta characteristics are similar to shale reservoirs such as the Eagle Ford, Haynesville and Horn River in North America which have so far resulted in discoveries of both shale gas and shale oil. The Vaca Muerta shale has recently become the focus for many of the important shale gas players in North America, including Apache, Exxon Mobil, Total as well as YPF in Argentina.
Forward Looking Statements
Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
In particular, statements (express or implied) contained herein regarding the timing and extent of Americas Petrogas drilling program the potential for conventional and unconventional hydrocarbons in the western region of the Neuquen basin, oil and gas reserves, conventional and unconventional resources, the area, location and depth of Vaca Muerta shales, should all be viewed as forward looking statements.
There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.
Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.
Americas Petrogas Inc.
President and CEO