Petrostar Petroleum Corp. (TSX-Venture: PEP; Frankfurt: LMQ; "Petrostar" or the "Company") announces that work is scheduled to commence on one of its 100%-owned P&NG leases that are located in the SE. Saskatchewan extension of the prolific Bakken oil formation.
This work is scheduled to begin on or before February 24 2010. The Company has contracted Innovative Supervision Ltd. of Estevan, Saskatchewan to supervise and complete the project. The extent of this initial work program will be to re-enter and re-complete the A1-26-14-31W located near Moosomin, SK in order to place the well on production. The A1-26 well was initially drilled and completed in the fall of 2008, with positive results. Oil sands were encountered and the well completed through to installing production facilities including pumps and storage tank. However, completion technicalities failed to sustain production. Petrostar management has determined that the well was perforated in a shale stringer of the zone with resulting poor inflow. What production inflow occurred was light oil (32API) with no water content. The recommendations of the latest geologic and engineering assessment are that the zone be perforated to its full extent above and below the old perfs.
Petrostar management has decided to proceed with these recommendations. It is the consensus that A1-26 will be a producing well and will be a new discovery in this area for Petrostar. Once this re- work program is completed, flow rates will be determined and announced and the well placed back on production. Petrostar management will then look to expanding its exploration programs on its leases that are located in the SE Saskatchewan extension of the prolific Bakken oil play that covers Southern Alberta, Saskatchewan, Manitoba and Montana & North Dakota in the USA. To date, the Company has acquired PN&G leases covering some 30 locations, both in the SE Saskatchewan area and in SW Manitoba.