AUSTIN, TEXAS–(EMWPresswire – Aug. 13, 2008) – Pantera Petroleum, Inc. (OTCBB:PTPE)(FRANKFURT:4PP) (the “Company”) announces that rig operations on the Sibley 84 #1 well have now been completed, and the crew is currently setting up the production equipment and flow lines for commercial distribution. The well flowed continuously at a substantial natural flow rate throughout Tuesday without the remaining step of acidization of the perforations, or holes made in the production formation through which formation gas enters the wellbore. Acidization should be a significant additional step as it clears out the cement at the perforations and etches the limestone matrix to create permeability to increase the flow rate. Yesterday, the well had 2500 pounds per square inch (“PSI”) of shut-in pressure, approximately 1000 PSI more than Saturday morning. In spite of heavy brine water to hold back the gas, the pressure and the gas kicks caused the crew to shut down the well several times over the past week to bleed off the gas in order to complete running the production tubing to the packer, which is the sealing device that prevents production flow from entering the annular space, or the space between the tubing and the well casing.
The crew is currently setting up the production unit and laying the flow line from the wellhead to the production unit. The remaining steps include setting the gas meter in place at the pipeline tie-in and laying the flow line from the production unit to the meter. Plans are to lay the flow line to make the final tie-in to the meter early next week. Commercial gas sales should commence shortly thereafter. Once the tie-in to the meter is done, we intend to test sales flow rates and pressure so that the correct amount of acid stimulation can be calibrated to thoroughly clean out the perforations so that gas can flow unobstructed.
Our operating partner, Stratco Operating, intends to now drill out the additional wells in the Block 83 84, including the Sibley 84 #2, a shallow drill, and the Gulf-Baker 83 #1, an additional re-entry well targeting the Fusselman and Devonian pay zones.
“We now have gas flowing at the Sibley 84 #1 well, and we are extremely pleased and excited at the pressure readings and substantial natural flow rate of the well without acid stimulation. We look forward to the acid stimulation program for the well and its anticipated results,” comments Pantera Petroleum’s CEO, Chris Metcalf.
About Pantera Petroleum
Pantera Petroleum, Inc. is a publicly traded oil and gas exploration company (OTCBB:PTPE)(FRANKFURT:4PP) headquartered in Austin, TX with operations in Midland and Pecos County, TX, and Asuncion, Paraguay. Our mission is to explore and discover new energy fields in North and South America. Our North American assets include a 10% working interest in the Block 83 84 Project in the West Gomez field in Texas. In South America, Pantera has rights to five concessions in northern Paraguay, covering nearly 4 million acres.
Shareholders and investors are encouraged to visit Pantera Petroleum’s website www.panterapetroleum.com and download the investor summary. Please feel free to call investor relations toll-free at 1-866-511-1147 to receive a full corporate investor’s package.
On behalf of the Board of Directors
PANTERA PETROLEUM, INC.
Chris Metcalf, President and CEO
Legal Notice Regarding Forward-Looking Statements
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Forward looking statements are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “aims”, “potential”, “goal”, “objective”, “prospective”, and similar expressions or that events or conditions “will”, “would”, “may”, “can”, “could” or “should” occur. Information concerning oil or natural gas reserve estimates may also be deemed to be forward looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed.
Forward-looking statements in this news release include, among others, that acidization should be a significant additional step as it clears out the cement at the perforations and etches the limestone matrix to create permeability to increase the flow rate; that the remaining steps include setting the gas meter in place at the pipeline tie-in and laying the flow line from the production unit to the meter; that plans are to lay the flow line to make the final tie-in to the meter early next week; that commercial gas sales should commence shortly thereafter; that once the tie-in to the meter is done, we intend to test sales flow rates and pressure so that the correct amount of acid stimulation can be calibrated to thoroughly clean out the perforations so that gas can flow unobstructed; and that Stratco Operating intends to now drill out the additional wells in the Block 83 84, including the Sibley 84 #2, a shallow drill, and the Gulf-Baker 83 #1, an additional re-entry well targeting the Fusselman and Devonian pay zones.
Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. It is important to note that actual outcomes and the Company’s actual results could differ materially from those in such forward-looking statements. Factors that could cause actual results to differ materially include misinterpretation of data, inaccurate estimates of oil and natural gas reserves, the uncertainty of the requirements demanded by environmental agencies, the Company’s ability to raise financing for operations, breach by parties with whom we have contracted, inability to maintain qualified employees or consultants because of compensation or other issues, competition for equipment, inability to obtain drilling permits, potential delays or obstacles in drilling operations and interpreting data, the likelihood that no commercial quantities of oil or gas are found or recoverable, and our ability to participate in the exploration of, and successful completion of development programs on all aforementioned prospects and leases. Additional information on risks for the Company can be found in Company’s periodic filings on Edgar with the US Securities and Exchange Commission.
Cautionary Note to U.S. Investors
The United States Securities and Exchange Commission (“SEC”) permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this news release, such as “prospective resources”, “likely recovery factors”, “prospective reserves”, “prospective resource”, “risk”, “recoverable oil”, “possible resource”, “potential reserve” and that the SEC’s guidelines strictly prohibit us from including in filings with the SEC. U.S. investors are urged to consider closely the disclosure in our annual report on Form 10-KSB and quarterly reports on Form 10-QSB available from us or the SEC.
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