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TSX VENTURE SYMBOL: POE - | View Quote |  View Chart |  View Financials | 

Pan Orient Completes Drilling POE-6 Well Onshore Thailand

Sep 28, 2006 - 07:00 ET

CALGARY, ALBERTA--(CCNMatthews - Sept. 28, 2006) -


Pan Orient Energy Corp. ("Pan Orient") (TSX VENTURE:POE) is pleased to announce that it has drilled, logged and is currently casing POE-6, the fourth well of a planned seven well Phase 1 drilling program located onshore Thailand.

Hydrocarbon shows and elevated mud gas readings were encountered over a combined interval of 128 meters while drilling through various targets between 700 to 1,200 meters. Shortly after drilling through the G sand target, crude oil approximately 1/2 centimeter in depth covered the entire reserve mud pit. Preliminary log analysis indicates a total net pay of approximately 22.8 meters in thickness; 10.2 meters in the G sand, 4 meters in the F sand as well as two other zones with 4.9 and 3.7 meters. The POE-6 well was primarily targeting the G sand reservoir in a large fault block that extends approximately 2.5 kilometers north and up structure of the POE-6 location. This is a separate fault block from the main Wichian Buri field, and, to date, no production has been established in the fault block penetrated by POE-6.

We expect testing to commence in early October subject to the in-country arrival of perforation charges and transport to the concession. A service rig has been contracted and will allow for extended pump testing of the newly drilled wells to establish the potential for commercial production. It will then move to existing producing wells in an attempt to enhance production performance. Current field production is approximately 120 bbls/d (gross) and expected to increase further with the newly drilled wells coming on stream, the change over of WB-N6 to beam pump, the perforation of the G sand in both WB-N4 and WB-N6 and the work over of WB-N2 that has been shut-in since packing off with sand 6 months ago.

The Aztec #7 drill rig will move to our fifth location, POE-3, located approximately 1.5 km south east of POE-6, in the main producing Wichian Buri field. Pan Orient operations have been unaffected by recent political events in the Kingdom of Thailand and management foresees no impact on future operations.

Pan Orient is a Calgary, Alberta based oil and gas exploration and production company with operations currently located onshore Thailand and in Western Canada.

This news release contains forward-looking information. Forward-looking information is generally identifiable by the terminology used, such as "expect", "believe", "estimate, "should" "anticipate" and "potential" or other similar wording. Forward-looking information in this news release includes, but is not limited to, references to: well drilling programs and drilling plans, estimates of reserves and potentially recoverable resources, and information on future production and project start-ups. By their very nature, the forward-looking statements contained in this news release require Pan Orient and its management to make assumptions that may not materialize or that may not be accurate. The forward-looking information contained in this news release is subject to known and unknown risks and uncertainties and other factors, which could cause actual results, expectations, achievements or performance to differ materially, including without limitation: imprecision of reserve estimates and estimates of recoverable quantities of oil, changes in project schedules, operating and reservoir performance, the effects of weather and climate change, the results of exploration and development drilling and related activities, demand for oil and gas, commercial negotiations, other technical and economic factors or revisions and other factors, many of which are beyond the control of Pan Orient. Although Pan Orient believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statements will prove to be correct.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transactions and has neither approved nor disapproved the contents of this press release.

40,040,770 common shares issued

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Neither 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.

Pan Orient Energy Corp.
Jeff Chisholm
President and CEO
(403) 294-1770


Pan Orient Energy Corp.
Jason Bednar
Vice President Finance and CFO
(403) 294-1770