TORONTO, Sept. 25, 2012 - Sintana Energy Inc. (TSX-V: SNN) ("Sintana" or the "Company") announces that it has been notified by the Operator of the Talora Block, Petrodorado Energy Ltd. - TSX-V: PDQ ("Petrodorado" or the "Operator"), that the Dorados-1X exploration well, which commenced drilling operations on July 31, 2012, has reached a depth of 6,685 feet, has encountered multiple hydrocarbon-bearing sandstone zones, has been cased and is presently drilling ahead to a planned total depth of 9,500 feet.
The well is targeting the Cretaceous Caballos and Tetuan formations and has recently encountered multiple hydrocarbon-bearing sandstone zones in the middle Cretaceous section, above the main target zones. This sandstone section appears to consist of numerous thick, sand-prone intervals of more than 1,300 feet gross, from 5,160 to below 6,500 feet. Gas shows with standard chromatography and with mass spectroscopy were especially prevalent from the start of the sand section at 5,160 feet to 6,036 feet (an interval of 876' gross). Mud log oil shows were especially well defined from 5,720 to 6,036 feet (an interval of 316' gross).
As a result of encountering these new hydrocarbon zones, the Operator has cased the well before continuing to drill to the Tetuan fractured carbonates and shales and the basal Cretaceous Caballos, potentially a well-defined sand or possibly a continuation of the fractured shale play concept. Upon completion of drilling, the rig will be demobilized and replaced by a completion rig to commence logging and testing. The Company is advised by Petrodorado that initial results are expected to be available in mid-November.
Doug Manner, CEO of Sintana commented, "We are very encouraged with the potential of the hydrocarbon bearing zones and especially the surprising thickness of the zones identified in the Dorados-1X well. We look forward to reaching the Cretaceous Caballos and Tetuan formations and analyzing the data collected from the logs and tests."
The Company has an undivided 30% private participation interest in the 58,570 acre Talora Block located in Colombia's prolific Magdalena Basin. The Talora Block is immediately adjacent to the region's main oil and gas pipelines and only 60 kilometers west of the capital city of Bogota.
ABOUT SINTANA ENERGY
The Company is primarily engaged in petroleum and natural gas exploration and development activities in Colombia and Peru. The Company's exploration strategy is to acquire, explore, develop and produce superior quality assets with significant reserve potential. The Company currently holds a 25% interest in the 175,000 acre Bayovar Block XXVII in the Sechura Basin, Peru. The Company's private participation interests in Colombia include 30% in 58,570 acres in the Talora Block and 30% in 272,021 acres in the COR-39 & COR-11 Blocks in the Upper Magdalena Basin. In the Middle Magdalena Basin, private participation interests are 100% in the 43,158 acre VMM-37 Block and 25% (carried) in the 154,909 acre VMM-4 and 59,522 acre VMM-15 Blocks. In the Llanos Basin, the company has a carried 25% private participation interest in the 11,624 acre LLA-18 Block. These interests are subject to all applicable regulatory and governmental approvals, including those of Colombia's National Hydrocarbon Agency (ANH). The Company continues to evaluate a portfolio of exploration opportunities in South America.
On behalf of Sintana Energy
Chief Executive Officer
For additional information or to receive timely updates about Sintana's South America projects and recent corporate activities please visit the Company's website at www.sintanaenergy.com or email email@example.com
Chief Executive Officer
This news release includes forward-looking statements related to the expected occurrences in relation to the properties identified. A multitude of factors can cause actual events to differ significantly from any anticipated development and although the Company believes that the expectations represented by such forward-looking statements are reasonable at the time of preparation; there can be no assurance that such expectations will be realized in whole or in part. These forward looking statements are based on assumptions that the Company has made concerning the oil and gas industry in South America, that all applicable regulatory approvals will be obtained, the reliability of available data regarding the properties and increasing demand for oil and gas. Risk factors which may cause actual results to differ from those anticipated in such forward looking statements include but are not limited to, risks associated with the uncertainty of exploration results and estimates, currency fluctuations, the uncertainty of conducting operations under a foreign regime, exploration risk, the uncertainty of obtaining all applicable regulatory approvals, the availability of labour and equipment, the fluctuating prices of oil and natural gas, the availability of financing and the Company's dependence on Sintana's management personnel and other participants in the property areas, including Petrodorado. Neither the Company nor any of its subsidiaries nor any of its officers or employees guarantee that the assumptions underlying such forward-looking statements are free from errors, nor do any of the foregoing accept any responsibility for the future accuracy of any of the opinions expressed in this document or the actual occurrence of forecasted developments.
Undue reliance should not be placed on the forward-looking statements as there can be no assurance that such expectations will be realized. The forward-looking statements contained in this document are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. This press release does not constitute an offer to sell or a solicitation to buy any of the securities of Sintana Energy Inc. in the United States.
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: Sintana Energy Inc.