Questerre Energy Corporation (Questerre or the Company) reported that its well at 15-01-62-06-W6M ("15-01" or the "Well") in the Kakwa-Resthaven area of west central Alberta will be tested after spring breakup.
The planned testing program will involve flow-back and cleanup of the well including over 10,000 barrels of completion fluid used in the fracture stimulation and the control of well operations. Initial flow-back took longer than expected due to the heavy weight fluids used. Due to the location and limited storage capacity on site, produced fluid during testing would have to be trucked regularly to disposal facilities approximately 60 miles away. With the onset of spring breakup, transportation restrictions are in effect to minimize damage to roads. As a result, Questerre has elected to postpone testing until after breakup when road access improves.
After the control of well incident in early January, the damaged production casing and other downhole equipment were successfully retrieved last month. Production tubing was run and the Well was setup for testing. Operations were also completed to close the port on a frac stage in the horizontal section. This was done to reduce contribution from a shallower formation that produces sour water and gas. As previously reported on January 14, 2013, trace amounts of sour gas were recorded during the control of well operations. During initial flow-back earlier this month, sour water was also produced which requires additional processing during well testing.
Michael Binnion, President and Chief Executive Officer, commented, "While this has taken longer than we originally expected, I am pleased that we were able to safely prepare the well for testing after the workover operations. Given the sour water produced, testing the well after breakup will give us the necessary road access that is essential for disposing our produced water and bringing in any support equipment that may be needed."
Questerre Energy Corporation is leveraging its expertise gained through early exposure to shale and other non-conventional reservoirs. The Company has base production and reserves in the tight oil Bakken/Torquay of southeast Saskatchewan. It is bringing on production from its lands in the heart of the high-liquids Montney shale fairway. It is a leader on social license to operate issues for its Utica shale gas discovery in the St. Lawrence Lowlands, Quebec. In conjunction with a supermajor, it is at the leading edge of commercializing a proven process to unlock the massive resource potential of oil shale.
Questerre is a believer that the future success of the oil and gas industry depends on a balance of economics, environment and society. We are committed to being transparent and are respectful that the public must be part of making the important choices for our energy future.
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