Westbridge Prepares to Drill and Attracts New Partners at Wharton County Field
Jun 04, 2014
Vancouver, British Columbia, June 4, 2014 -- Westbridge Energy Corporation (TSXV: WEB) (Pinksheets: WEGYF) (Frankfurt: PUQ1) ("Westbridge" or the "Company") and Black Pearl Holdings, LLC ("Black Pearl") are pleased to announce the contracting of a rig to drill the Wharton County #3 ("WC#3") well at the Wharton County Field, Wharton County, Texas and the securing of two new farm-in partners. Westbridge and Black Pearl are also pleased to announce the resolution of a probate related matter and the leasing of all lands required to move forward with drilling the WC#3 well.
Drilling Rig Secured for Wharton County #3 Well
Westbridge and Black Pearl have secured a drilling rig to complete a development well at the Wharton County Field from Coastal Drilling LLC. The rig is scheduled to spud the well during the week of June 16th. This 1,000 horsepower rig is anticipated to reach the target total depth of 10,000-feet in approximately 14 days. Thereafter, the completion of the well will take approximately an additional 7 days. All engineering and onsite operations associated with the well are being managed by Traton Engineering, a full service engineering and consulting firm with expertise in all phases of oil and gas operations throughout the world.
The WC#3 well will target the Lower Frio section stratigraphically trapped against the Boling Salt Dome. Based on detailed technical analysis, Westbridge and Black Pearl anticipate a large portion of the 50 foot section of reservoir sand will be saturated with light oil and capable of achieving high flow rates. This expectation is based on an initial production rate of 236 barrels of oil per day from the Wharton County #1 ("WC#1") well on an 8/64ths choke before the well watered out due to mechanical problems associated with the completion.
The project is located approximately 50 miles southwest of Houston, Texas and contains all the necessary infrastructure required to monetize both the oil and gas. In addition to the WC#3 well, the Wharton County Field potentially has 5 to 6 follow-up drilling locations.
New Partners at Wharton County Field
Westbridge has entered into a binding agreement alongside Black Pearl whereby Westbridge and Black Pearl will convey a 10% working interest in the Wharton County Field to Texas Onshore AB ("TX Onshore") and an additional 10% working interest to MEO Petroleum, LLC ("MEO"). In combination with the 10% conveyance announced on March 18, 2014 and the 30% conveyance announced on March 31, 2014, Westbridge now controls a 20% working interest and Black Pearl controls a 20% operating interest in the Wharton County Field.
Pursuant to the terms of the transaction, Westbridge and Black Pearl will each receive half of a 5.0% back-in right after the payout from the WC#3 well. After taking into account the back-in rights of the previously announced and current transactions, Westbridge will hold a 27.5% working interest and Black Pearl a 27.5% operating interest in the Wharton County Field. TX Onshore and MEO will each fund their proportionate share of all lease and drilling costs going forward as well as pay an entry fee of US$20,000. These funds will be applied to the cost of the WC#3 well.
As a result of these transactions, Westbridge will now fund 40% of the upcoming drilling costs associated with the WC#3 well.
Mr. Tosan Omatsola, President and CEO of Westbridge, comments: "Westbridge and Black Pearl are pleased to be working with Traton Engineering and welcome the new partners to the Wharton County Field. Our ability to attract experienced and competent industry partners is testament to the merits of this field and its potential to produce high quality oil."
About Traton Engineering
Traton Engineering is a full service engineering and consulting firm with expertise in all phases of petroleum operations throughout the world. Traton's engineers provide their clients with engineering services from initial drilling design through long-term reservoir management. Drilling, production, and completions supervisors supported by engineering and clerical personnel are capable of lending expertise to any situation encountered. Traton's personnel have extensive experience in generating well programs and cost estimates for drilling, completion, and workover operations for single or multi-well projects in any locale, at any depth. The company has successfully engineered and supervised hundreds of projects in various producing regions, both domestically and internationally.
About Texas Onshore AB
Texas Onshore AB was founded in 2005 by the brothers Thord and Ulf Lernesjö, both with more than 17 years of experience in the US oil and gas industry. Today the company has more than 1,000 shareholders and has been listed on the Stockholm stock exchange since 2012. Texas Onshore, Inc., a subsidiary of Texas Onshore AB, is responsible for U.S. operations. The company's operations and assets in the United States are in Texas, Wyoming and Louisiana.
About MEO Petroleum, LLC
MEO is a privately-owned Texan entity controlled by Dr. Ebi Omatsola. Dr. Omatsola has over 40 years of international oil and gas experience and is one of the most renowned African oil and gas explorationists having found over 3 billion barrels of oil and gas equivalent during his career. Dr. Omatsola has worked at leading firms including Shell, ENI and Conoil. Dr. Omatsola is currently the Vice-Chairman of Conoil Producing. He holds BSc, MSc and PhD degrees in Geology from the Universities of Ibadan, Nigeria, the University of Stockholm and Uppsala University in Sweden respectively. Dr. Omatsola is currently a Distinguished Advisor to Westbridge.
For additional information readers are invited to review additional corporate and property information available at Westbridge's website at:
On behalf of Westbridge Energy Corporation,
President and Chief Executive Officer
+1 604 638 9378
Vice President, Business Development
+1 604 638 9378
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