LONDON, Jan. 2, 2014 /CNW/ - Sea Dragon Energy Inc. ("Sea
Dragon" or the "Company") (TSX VENTURE: SDX) is pleased to announce
the acquisition of an equity interest in the South Ramadan Concession located offshore in the Gulf
of Suez, Egypt.
The 26.2 km2 concession, located in 27m of
water, contains two proven productive horizons in the Eocene age
Thebes and Senonian age Matulla carbonates. These horizons,
combined, have produced 3.75 MMBO of light oil (31⁰API) to date
from two previously drilled wells tied back to an existing
platform.
The concession is also located between the giant
Ramadan field (550 MMBO) and the
Saqqara field (80 MMBO) both of which produce light oil from the
Lower Cretaceous age Nubia sandstones which are the primary
development targets within this concession. The work
commitment, over the 10 year extension period, is $23MM which
consists of 1 new well and facility upgrades.
Sea Dragon is a 12.75% equity owner in the South
Ramadan concession with Pico holding
37.5% and operatorship and GPC holding the remaining 50%.
Commenting, Paul
Welch, CEO of Sea Dragon, said:
"Securing an interest in this concession
underpins our focus on developing reserves and expanding production
within the Gulf of Suez Fairway that we have been developing over
the last year. The capital raised from the recent sale of our
Upper Egypt assets will be redeployed into an area where we've had
considerable success and understand the geology well. I am looking
forward to reporting on the development of this concession in the
coming months. "
About Sea Dragon Energy Inc.
Sea Dragon is an international exploration and
development oil company with a focus on North Africa and the Middle East. Activities are currently
concentrated in Egypt, with
interest in 4 concessions with short and long term potential. For
further information please see the website of the Company at
www.seadragonenergy.com or the Company's filed documents at
www.sedar.com.
Certain statements contained in this press
release constitute "forward-looking statements" as such term is
used in applicable Canadian and US securities laws. Any statements
that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions
or future events or are not statements of historical fact should be
viewed as forward-looking statements. In particular,
statements concerning the 2014 drilling and capital expenditure
programs of the NW Gemsa, Shukheir Marine, South Disouq and South
Ramadan Concessions and the results
referenced or implied herein should be viewed as forward-looking
statements. All reserves information contained herein as well as
the net present value of such reserves should be considered as
forward looking statements. The forward-looking statements
contained in this document are based on certain assumptions and
although management considers these assumptions to be reasonable
based on information currently available to it, undue reliance
should not be placed on the forward-looking statements because the
Company can give no assurances that they may prove to be correct.
By their very nature, forward-looking statements are subject to
certain risks and uncertainties (both general and specific) that
could cause actual events or outcomes to differ materially from
those anticipated or implied by such forward-looking
statements. Such risks and other factors include, among
others, costs and timing of exploration and production development,
availability of capital to fund exploration and development and
political, social and other risks inherent in carrying on business
in Egypt.
See Sea Dragon's Annual
Information Form for the year ended December
31, 2012 for a description of the risks and uncertainties
associated with the Company's business, including its exploration
activities. The forward-looking statements contained in this
press release are made as of the date hereof and the Company does
not undertake any obligation to update publicly or to revise any of
the included forward-looking statements, except as required by
applicable law.The forward-looking statements contained herein are
expressly qualified by this cautionary statement.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS
REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE
POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR
THE ADEQUACY OR ACCURACY OF THE RELEASE.
SOURCE Sea Dragon Energy Inc.