CALGARY, January 26/PRNewswire/ -- BNK Petroleum Inc. ("BNK" or the "Company") (TSX: BKX) is pleased to announce that it has been awarded two additional oil and gas concessions, which total approximately 770,000 acres net to BNK. These concessions were granted in a European Union Country and bring BNK's total gross land acquisitions in Europe to 2.1 million acres. This provides further diversification by spreading the Company's projects across 4 basins. The Company's strategy to evaluate acreage and deploy license applications throughout Europe continues to make progress. The Company anticipates spudding its first European operated well during the second quarter.
In accordance with the granting of these latest concessions, certain minimum requirements must be fulfilled by BNK to retain its interest. Some of the more significant minimum requirements consist of conducting geological work in the first year, acquiring seismic in the second year, drilling one vertical well in both years three and four, and the drilling of one horizontal well in year five within each concession area.
In BNK's Tishomingo Woodford shale field, the remaining behind pipe stages in two of the wells were fracture stimulated in the fourth quarter of 2009. In total, 15 gross stages, 4.6 net stages to BNK, were fracture stimulated which helped BNK achieve a net 1,200 boe/day 2009 year end exit rate from the field. This is a 22% increase from our third quarter 2009 net rate of 981 boe/day. The two wells had combined 30 day average initial production rates of approximately 1,100 boe/d which is about 400 boe/d net to BNK. BNK has over 60 net stages remaining to fracture stimulate in its previously drilled wells. These un-stimulated stages were not given any credit in the previous reserve reports and BNK believes reserves will now be attributed to them in its 2009 year-end report, which is anticipated to be completed in the first quarter.
Source: PR Newswire