Press Release Navigation

<<< Previous


Next >>>



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

Pan Orient Confirms New Oil Producing Reservoir

Nov 20, 2006 - 07:00 ET

CALGARY, ALBERTA--(CCNMatthews - Nov. 20, 2006) - Pan Orient Energy Corp. (TSX VENTURE:POE) -



- New producing oil reservoir in the "H" sandstone at POE-3 adds incremental oil production. Other zones including the primary target "F" and additional "G" sandstone still to be tested.

- The high impact exploration well POE-7 drilling ahead, expected to reach total depth in 2-3 days.

POE-3 Production Testing

Approximately 2 weeks ago testing commenced on POE-3 from the "H" sand, one of three zones interpreted as hydrocarbon bearing on the basis of open hole logs. Oil production from the well has stabilised at 25 bbl/d from only 3 meters of perforations in the "H" sand. Upon completion of testing from the "H" sand, the "G" and "F" sands will be perforated and production commingled. Prior to the drilling of POE-3 there was no production or reserves assigned to the "H" sand in the Wichian Buri field.

To confirm reservoir performance, all new zones will be produced for a 20-30 day period before additional zones are perforated, at which time all production will be commingled.

POE-5 Production Testing

Testing has commenced from the "H" sand in POE-5, one of three zones interpreted as hydrocarbon bearing on the basis of open hole logs. Having just been put on beam pump, there are no stabilised rates to report at this time. Upon completion of testing from the "H" sand, the "G" and "F" sands will be perforated and production commingled.

POE-7 Exploration Well

The Aztec #7 rig is currently drilling ahead to a total depth of approximately 1,350 meters at POE-7, an appraisal to the HP-1 well drilled in 2002 that encountered 3 meters of hydrocarbons at the top of the "F" sand. Completion of drilling and logging is anticipated later this week.

POE-9 Exploration Well

POE-9 is a recent addition to the current drilling program and will be the last well drilled in the Phase 1 program. This location is an appraisal of the Na Sanun-1 well drilled in 1997 that flowed approximately 1,400 bbl/d from a fractured volcanic sill before watering out. POE-9 is located approximately 400 meters east and 150 meters up dip from Na Sanun-1, targeting a number of volcanic sills within structural closure. The prospect is deemed moderate risk and high impact by management. Building of the location is anticipated to commence this week with drilling expected to begin in early December.

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.

40,040,770 common shares issued

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.

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