Bactech Environmental Corp. press release
Vulcan Minerals Inc. Flat Bay No. 3 Locates More Oil
CSE - Canadian National Stock Exchange · Gold · Silver · Arsenic · Iron · Nickel · Copper · Cobalt · Rare Earth Elements · Canada
Stock Symbol: TSX: VUL Shares issued: 28,510,884
ST. JOHN'S, Oct. 18 /CNW/ - Vulcan Minerals Inc. ("the Company" TSX-V: VUL), is pleased to announce that the Flat Bay No. 3 well has been drilled and logged to total depth and has penetrated oil bearing formation over the following intervals, representing the largest intervals yet seen in the area:
40-135m anhydrite-fractured cap rock 140-210m conglomerate 215-225m conglomerate 235-240m conglomerate 270-275m siltstone-sandstone
The oil presence is based on fluorescence in the cuttings similar to that seen in Flat Bay No. 1 (300m north of Flat Bay No. 3) where oil has been recovered from the wellbore and the Flat Bay test core hole where live oil was present in core. The oil in Flat Bay No. 3 did not flow into the well bore under open hole conditions. The reservoir is interpreted to be of low permeability inhibiting oil flow. The well was located on the edge of an inferred fault zone where natural fracturing was interpreted to occur. Cuttings from Flat Bay No. 3 indicate the presence of fracturing and this has probably resulted in the oil penetrating the thickest oil section yet seen in the area, particularly in the anhydrite cap rock. In order to better ascertain the geometry of the fracture system, which would enhance any potential oil recovery, the Company is preparing to acquire additional seismic and high- resolution aeromagnetics over the Flat Bay area. The exploration focus will be on fracture identification for reservoir enhancement that may be exploitable by horizontal drilling or enhanced recovery techniques. Flat Bay No. 3 again demonstrates that a substantial active petroleum system is in place in the Flat Bay structure. The Company has mobilized its rig to the Hurricane No. 1 location approximately 15 kilometres south of the Flat Bay structure. The Hurricane structure is a large feature on the southern portion of the Flat Bay Anticline. Reconnaissance seismic indicates it could cover an area in excess of 100 square kilometres. It has several fault compartments that will require multiple wells to adequately test the feature. The Hurricane No. 1 well will test the updip end of a fault block and will penetrate target horizons consisting of supra-evaporite sandstones, sub-evaporite sandstones (equivalent to the Flat bay conglomerate) and a deeper seismically anomalous section that may represent lower most Carboniferous sediments or Ordovician/Cambrian platform sediments. Thus multiple target horizons will be penetrated enroute to the projected total depth of 1,000 metres. This is the first well ever drilled in this area. Terralliance Canada Inc. has a right to earn a 33 1/3 working interest in the well by paying 50% of drilling and completion costs. Results will be released when available.
Vulcan is a junior exploration company focused on exploring for petroleum in Western Newfoundland. The Company has an experienced management group and is carrying out a multi-well program in 2005. Vulcan owns interests in approximately 250,000 acres in the Bay St. George Basin, which has the potential to be a new petroleum basin in North America.
The TSX Venture Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. %SEDAR: 00003997E