PrimeGen Energy Corp. advises that the operator of drilling operations at the previously announced Timan-Pechora Project has reported that total depth has been achieved.

Testing of any potentially productive oil bearing zones are slated to commence immediately. PrimeGen will be advised as to the commercial viability of the well and productive oil flow rates upon the completion of testing, which is anticipated early next week. The well is the first of a proposed development program targeting a minimum of 30 oil wells to be drilled.

The Timan-Pechora Project area currently consists of 24 existing production oil wells with close to one billion barrels and 132 BCF of proven reserves. A discovery well tested 5,589 BOPD from zone at 3,958-3,974 meters. Timan-Pechora region is 17 kilometers from Ukhta, a major town in the Republic of Komi. The oil plays are situated approximately 1,200 km from Moscow. Its surrounding areas have well established infrastructure, allowing all year access for field operations. Power lines and a major highway pass through the territory. There is also a branch of the Transneft pipeline between Ukhta and Moscow that passes directly over the project. Additional transportation routes include a railway system, with the nearest terminal located close to Ukhta.

Company President and CEO Robert Charlton said, "We look forward to the results of testing with an optimistic view towards a successful outcome, especially given the available geologic data and nearby predominance of producing wells. Next week's news could be of considerable benefit to Management's near-term planning."

Tags: PrimeGen Energy