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Frontera Resources provides update on Georgia operations

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Oilfield Technology,

Frontera Resources Corporation an independent oil and gas exploration and production company, has released an update of its operations in the country of Georgia.

As previously announced on September 30, work is underway to begin the stimulation campaign for six further wells within the company’s ongoing Oil Window and Gas Window operations at its South Kakheti Gas Complex.

Specifically, following extensive workover operations throughout October and the procurement of necessary materials, six new wells have now been prepared and will shortly receive stimulation completions in November. The company expects that the upcoming campaign will significantly contribute towards its current objective of achieving overall year-end pilot production rates of 2200 boe/d, which would result in monthly revenues of approximately US$3 million at current commodity prices.

This year, ongoing work programs have resulted in the company achieving important new technical milestones in stimulation operations. The application of a demonstrated stimulation methodology has consequently led to improved overall hydrocarbon recovery. As the Company continues to implement techniques that have been applied in similar zones across North America, it continues to evolve completion designs in order to maximize production rates and cumulative volumes.

Steve C. Nicandros, Chairman and Chief Executive Officer commented:

“Our November programme represents another important step in the continuation of our evolving well stimulation work. Our work at the Udabno#2 well is particularly important, as we plan to undertake a testing program that is designed to evaluate an extensive gas-bearing interval of approximately 2000 m in gross thickness. I look forward to communicating results in the weeks ahead.”

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