PRESS RELEASE
DEJOUR
ENTERPRISES
LTD.:
Amex: DEJ / TSX-V: DEJ
FOR RELEASE:
February 11, 2008
Dejour
announces the Company has now drilled or participated in drilling 13 wells on 9
of its 14 project areas, since inception of exploration activity in the Peace
River Arch in late 2006. Six wells have tested gas and one has tested gas and oil.
Three are recent wells for which completion and evaluation operations are
underway. There are three more wells to be drilled to complete Dejour’s winter-07/08
program in the Peace River Arch area.
These
positive results position Dejour to target initial daily production rates >
10,000,000 cubic feet of natural gas equivalent per day (MMcfGE/d) from multiple
operations in this area. Pipeline construction is well underway in the Drake
B.C. area. National Instrument #51-101 independent reservoir engineering
reports will be forthcoming prior to the end of March 2008, as required to
assign reserves and values to year end 2007. A second report will be created at
the end of the current exploration and development program to update these
results. As of today’s date NYMEX Henry’s Hub Natural Gas has risen to $8.59
(US/MMBtu).
Chairman
& CEO Robert L. Hodgkinson states, “the Peace River Arch projects have been
executed very efficiently and effectively. The well logs and flow rates are
better than anticipated and show potential for considerable economic success.
The combined production from these wells will place the company in an excellent
cash positive position and provide the financial means to fund present
operations. Further, our discoveries in this area strongly support Dejour’s
program of allocating capital to the exploration and development of North American
oil and gas properties that are highly prospective for significant discovery,
during this period of market opportunity”.
Dejour has
now flow tested both its third and 4th wells, both 100% owned. Well
#3 flowed over 500,000 cubic feet of natural gas per day from the ‘Notekewin’ sands
with porosities as high as 24%. The #4 well
flowed over 650,000 cubic feet of
natural gas per day. Neither of these
wells has been subjected to frac due to strong natural rates of gas flow. Both
wells will be placed on production shortly.
Well #5 has
now reached total depth of 3700’. The primary objective on this location is the
seismically defined ‘Halfway’ sand. Well logs indicate high porosity sand with good
gas show at this interval. In addition up-hole gas
shows have all contributed to the decision to immediately case this well for
production testing. This will be complete by early next week. The drill rig
will then proceed to the #6 location to again test multiple zones which show
potential on 3D seismic coverage analogous to the #5 well.
The #6 well
will conclude the Drake exploration and development drilling program for the 2007-08
winter drilling season. Plans are to place these 6 wells on production prior to
breakup, with the gas moving through available pipelines running both east and
west from this project area. Final production rates will be aggregated at that
time. Dejour estimates initial production (IP) rates of at least 6 million
cubic feet of natural per day from these wells.
Dejour has
at least 4 additional drill sites on these 100% owned lands at Drake for future
development. The Company is exploring the possibilities of further significantly
greater exposure to natural gas productivity in this area.
OTHER
Dejour
spuds its sixth and final exploration well of the season this month to test a prominent
channel sand of a type known to be prolific in the area. The cumulative results
of this exploration program will be forthcoming as results are available. To
date, one of the new discoveries has tested over 3,000,000 cubic feet of
natural gas per day with over 150 barrels of light oil (Dejour 100%). Two
additional exploratory wells show strong indications of hydrocarbons on the
logs and are currently being evaluated for production. Rates will be published
when available.
Lastly, Dejour’s,
third party operated 30% owned Saddle Hills discovery is now being placed on
production ( two zones tested > 1,600,000 cubic feet of natural gas), with
an offset well to commence drilling. The
Company has 5700 acres associated with this play and currently preparing to
record a seismic program to assist in future development in 2008.
PICEANCE
& UINTA BASIN,
Dejour continues
to concentrate on its 22% average ownership in over 300,000 acres of oil and
gas properties in the US Piceance and
Hodgkinson
states further, “it is the Company’s near term intention to become increasingly proactive in the future
development of these highly prospective basin centred gas resources, known to
be one of the largest concentrations of natural gas in North America. This is
where industry is expected to spend over US $25B drilling over 40,000 wells in
the next 5 years. Dejour has positioned itself in the right place at the right
time.”
OTHER
PROJECTS
Dejour also
holds:
a.
A
greater than 33.5% interest in over one million acres of properties,
prospective for the discovery of uranium
in Canada’s Athabasca Basin, through carried and royalty property interests and
controlling equity interest in Saskatoon based, publicly traded Titan Uranium
Inc. These properties are currently the subject of substantial exploration
joint ventures, funded externally by internationally mining concerns but
operated by Titan, and
b.
A
35% working interest in a natural gas play covering 7500 acres of very
prospective oil and gas leases on the downthrown side of the Tinsley salt dome in
Mississippi, resulting from the successful reinterpretation of extensive
proprietary 3D seismic data available to the Company.
Charles
Dove, P. Geophysics, is the qualified person for this report.
BOEs [or 'MMcfGEs'
or other applicable units of equivalency] may be misleading, particularly if
used in isolation. A BOE conversion ratio of 6 Mcf: 1 bbl [or 'An McfGE
conversion ratio of 1 bbl: 6 Mcf'] is based on an energy equivalency conversion
method primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead.
About Dejour
Dejour
Enterprises Ltd. is a micro cap Canadian company creating real shareholder
value through a balance of exploration/development, production/development and
monetization of strategic North American energy properties -including oil,
natural gas and uranium.
The Company is listed on the Amex (DEJ), TSX
Statements Regarding Forward-Looking
Information:
Some statements contained in this news release are forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995. Investors are cautioned that forward-looking statements are inherently
uncertain and involve risks and uncertainties that could cause actual results
to differ materially, including comments regarding the expectation that the offering
will be completed consistent with the terms outlined above and use of proceeds
from this transaction. Actual results
may differ materially from those presented.
Factors that could cause results to differ materially include
fluctuations in oil, gas and uranium prices, changes in
The TSX
Venture Exchange does not accept responsibility for the adequacy or accuracy of
this news release.
Robert L. Hodgkinson, Chairman & CEO
DEJOUR ENTERPRISES LTD.
Phone: 604.638.5050 Facsimile:
604.638.5051 Email:
investor@dejour.com