Jericho Continues Drilling Kansas Land Package Following
Successful Phase I Results
VANCOUVER, Sept. 23, 2014 /CNW/ - Jericho Oil Corporation
("Jericho" or the "Company") (TSX-V: JCO, Frankfurt: JLM) announces
that it will commence the first stage of its Phase II development
drilling program for its Kansas
land package.
Employing two active rigs, the first stage of Jericho's Phase II
shallow drilling program calls for 25 vertically producing wells
and 25 water injection wells to be drilled, equipped and completed
into known producing formations during Q4-2014. In addition,
there are approximately 10 to 15 potential work-over well
candidates.
Following on the heels of its successful Phase I drilling
program, Jericho added 729 acres of contiguous and proximate
acreage along a historically prolific oil producing channel (See
Press Releases: Land Acquisition 1 & Land Acquisition 2)
which the Company is targeting to drill as part of its Phase II
development program.
Allen Wilson, CEO of Jericho Oil,
stated, "We are excited to build on our Phase I success, where we
saw our production nearly double and the Company begin to achieve
steady cash flow from a strong production base. Our operating
team is looking forward to putting all the subsurface knowledge
gained over the last five months to work in the continued build of
our production base."
The acreage has been significantly de-risked by the Company's
Phase I drilling efforts which saw Jericho drill and complete 105
producers and water injection wells. The Company gained
valuable geological and geophysical data allowing for a more
defined reservoir control and understanding of the targeted sand
body. As a result of Jericho's Phase I drilling program,
production has approximately doubled since the Company re-commenced
trading on the TSX-V in March, 2014.
The Phase II drilling program will be developed using Jericho's
3-phase systematic asset development plan (See pg. 12 of
Jericho's Investor Presentation). Newly drilled wells
will follow Jericho's value creation strategy through 2.5 acre down
spacing and 5-spot waterflood patterns.
The announced low-risk, shallow re-development and drilling
program is a part of Jericho's strategy to revitalize legacy
producing oil fields through the implementation of proven, modern
drilling completion and recovery techniques. Wells, on average,
will be drilled in 2-3 days to depths between 650 and 750 vertical
feet.
About Jericho Oil Corporation
Jericho is focused on growth through consistent, predictable and
repeatable high margin conventional oil production by bringing new
and proven technology to legacy, onshore basins in North
America. Jericho has acquired a 50% interest in 27 leases
comprised of nearly 3,600 acres. Jericho expects to continue
its extensive development program throughout the next 12 months and
will provide updates as the program progresses. For more
information, please visit www.jerichooil.com.
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward-looking statements"
within the meaning of the United States Private Securities
Litigation Reform Act of 1995 and Canadian securities laws. There
can be no assurance that such statements will prove to be accurate
and actual results and future events could differ materially from
those anticipated in such statements. Important factors that could
cause actual events and results to differ materially from Jericho's
expectations include risks related to the exploration stage of
Jericho's project; market fluctuations in prices for securities of
exploration stage companies; and uncertainties about the
availability of additional financing.
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 this release.
SOURCE Jericho Oil Corporation