Dejour Primed for Piceance/Uinta Basin Natural Gas Resource Project.VANCOUVER, British Columbia British Columbia, province (2001 pop. 3,907,738), 366,255 sq mi (948,600 sq km), including 6,976 sq mi (18,068 sq km) of water surface, W Canada. Geography -- Robert L. Hodgkinson, Chairman & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , is pleased to announce that Dejour Enterprises Ltd. (TSX TSX Toronto Stock Exchange (TSE before April, 2002) TSX Transfer from Stack Pointer to Index TSX True Space Extension VENTURE:DJE) (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). :DJEEF) (FWB (Fixed Wireless Broadband) See fixed wireless. :D5R) plans to submit to the TSX Venture Exchange TSX Venture Exchange Originally called the Canadian Venture Exchange (CDNX), this was a result of the merger of the Vancouver and Alberta stock exchanges. The goal of TSX Venture Exchange is to provide venture companies with effective access to capital while protecting investors. this week the required National Instrument 51-101 report (Standards of Disclosure for Oil and Gas Activities) for the Piceance/Uinta natural gas resource project. The 51-101 report, authored by Ryder Scott Company, Petroleum Consultants, is based on the acquisition of 267,152.29 total gross acres (254,640 net), including an additional 14,104 net strategic acres, in the Piceance/Uinta Basins pursuant to its agreement with Retamco Operating Inc. originally announced on May 11, 2006. The Company has a binding Letter of Intent, subject to regulatory approval, with Retamco, a private Texas corporation, to own and participate in the drilling of this large accumulation of conventional and unconventional oil & gas leases located in the Piceance/Uinta Basins of western Colorado and eastern Utah. These basins hold one of the largest natural gas resource/ production reserves in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. . This is a tremendous opportunity for Dejour, comprising of two distinct project types involving roughly 267 leases covering 18 geological prospects within these basins. Key highlights of the Piceance/Uinta Basins are: --6000+ square miles A square mil is a unit of area, equal to the area of a square with sides of length one mil. A mil is one thousandth of an international inch. This unit of area is usually used in specifying the area of the cross section of a wire or cable. estimated to contain more than 300 trillion cubic feet of conventional and unconventional gas in place and as much as 3 billion barrels of oil --Established resource, with significant deeper exploration upside --Low political, economic and development risk --Repeatable drilling play utilizing the latest completion techniques that provide for 60-80% recovery rate per well, estimated at 100bcf/section --Multiple wells per location, effective drilling economies of scale --Well advanced pipeline network, growing with capacity --Largest natural gas resource play in the mainland US that has attracted major industry players i.e. Encana, ExxonMobil, Chevron, The Williams Co., Bill Barrett Corporation Bill Barrett Corporation is an energy company based in Denver, Colorado. Its core business is natural gas and oil exploration and development in the Rocky Mountains region of the United States. , Conoco-Phillips --Dejour land position creates significant beneficial shareholder leverage The project consists of two types. The "Natural Gas Resource" project is a well defined stratigraphic stra·tig·ra·phy n. The study of rock strata, especially the distribution, deposition, and age of sedimentary rocks. strat gas resource, covering over 198,561.2 gross acres (188,422.47 net) of leases that include low geologic risk natural gas assets plus the opportunity for deeper Jurassic reserves. The second project is a massive deep "Overthrust oil" project covering 68,591 gross (66,218.2 net) acres of leases in the northern Piceance/Uinta Basins with a high reward potential and commensurate risk. This project is a deep seated oil prospect with the geological potential to contain up to 3 billion barrels of oil, directly analogous to the Rangeley field located immediately adjacent, having produced over 1 billion barrels to date. Dejour will acquire a 25% net working interest in the "Natural Gas Resource" project and a minimum 12.5% net working interest in the "Overthrust Oil" project. Leasehold acreage will have a minimum 80% net revenue interest. Dejour will pay its proportionate share of all exploration expenses including seismic, drilling, completion or abandonment and equipping for a minimum 25% working interest in the entirety of the "Natural Gas Resource" project, and similar proportional costs for a minimum 12.5% working interest in the "Overthrust Oil" project. Total land cost to Dejour now totals US $22,153,157, comprising US $5 million cash and 5,500,000 common shares valued at US $10,726,700 ($2.17 per share) payable at closing, with the assumption of a US $5,000,000 zero coupon note maturing December 31, 2006. Dejour is adequately funded to fulfill its financial obligations pursuant to this agreement. It has been agreed that the additional land costs will be settled with Retamco through the issuance of a two year debenture (US $1,426,457) convertible at US$1.35 per unit, bearing an 8% coupon, payable quarterly, subject to exchange approval. Each unit consists of one common share and one share purchase warrant exercisable at US $1.50 per share. Working interest and operator partnerships are currently being finalized See finalization. . Dejour expects drilling to commence early in Q4 of 2006. For further information regarding the Piceance-Uinta Basin please refer to: http://www.dejour.com/news/DJE_Piceance_Fact_Sheet.pdf About Dejour Dejour Enterprises Ltd. is a Canadian energy company focused on exploration and development of uranium and oil & gas while leveraging opportunities that exist as a result of the global market's decreasing conventional supply and increasing demand for energy. The Company is listed on the TSX Venture Exchange (DJE.V), OTC (DJEEF), and Frankfurt (D5R). Dejour is a reporting issuer to the SEC. Refer to www.dejour.com for company details or contact the Office of Investor Relations Investor relations The process by which the corporation communicates with its investors. at investor@dejour.com Statements in this release that are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Corporation's periodic filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The corporation does not assume the obligation to update any forward-looking statement. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release. -0- Shares Issued: 50,994,722 Last Close: 6/21/2006 - CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. $1.46 |
|
||||||||||||||

Printer friendly
Cite/link
Email
Feedback
Reader Opinion