B2Gold Corp. press release
Mystique Energy Announces $29 Million Capital Budget for 2006
TSX - Toronto Stock Exchange · Gold · Canada
TSX-Venture Exchange: MYS
CALGARY, Jan. 12 /CNW/ - Mystique Energy Inc. ("Mystique") announces that its board of directors has approved a $29 million capital budget for 2006. Over $25 million will be spent on Mystique's drilling program on farm-in lands located northwest of Calgary. The remaining capital budget will be spent primarily on land and seismic acquisitions. Mystique is planning to drill 22 wells with the drilling rig that it presently has under contract. The company's cost share of the wells is forecast to average 71 percent, which would result in an earned average working interest of 53 percent. If an additional drilling rig can be contracted, the drilling program could be accelerated or expanded. Mystique has cased its second well in the Bottrel area and is presently drilling its fifth well in the Harmattan area. Two wells that were drilled in December, one in the Bottrel area and another in the Wildcat Hills area, are presently being completed. From its earlier drilling in 2005, one of four wells that were completed and equipped is now on production. The tie-ins of the other three wells were not commenced due to delays in obtaining approvals for flowline construction permits. It is expected that these permits will be awarded in January and the wells will be on production later in the first quarter. Directors appointed Mr. Verne Johnson as Chairman of the Board effective immediately. Mr. Johnson was appointed a director on 2005-12-08. Directors also approved the issuance of 132,975 options to purchase Mystique common shares at $0.54. The options were issued to an officer of the company in lieu of a portion of 2005 salary, and to a new employee. The TSX Venture Exchange has not yet approved the issuance of these options. Based in Calgary, Mystique is involved in the exploration and exploitation of petroleum reserves in western Canada.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. %SEDAR: 00001147E