Transeuro Provides Update on its Ukraine Operations

Transeuro Energy Corp. issues and update on its Ukraine operations as follows:

Operations are now underway for ‘Test 3&4 combined’ to complete the testing programme on the Karl-101 well. The C12 and C13 intervals will be tested together including 41m of perforations in the C12 over the interval 3,107 to 3193m and 44 metres of perforations in the C13 over the interval from 3,220 to 3,321 metres. These top intervals contain numerous ‘reservoir sections’ including the best quality reservoir section in the well, located at the top 30m of the C12 and are thought to contain ‘fracture zones’ that will allow for higher flow rates. These intervals represent around 55% of the total reservoir.

After completing ‘Test 2’ the packer and perforating guns were recovered from the wellbore and established that all the guns fired as planned and the downhole pressure data was recovered. In order to proceed with ‘Test 3&4’ the perforation intervals of ‘Test 2’ have been temporarily suspended below a drillable bridge plug so that the interval can be accessed later for production. Samples of gas and condensate were collected and have been sent for analysis.

The President & CEO, David Worrall commented, “The C12 and C13 are expected to be the same reservoir pressures, making it practical to combine the tests and to collect accurate data on the ‘upper’ reservoir. The data collected so far suggests the C14 and C15 comprise a separate ‘middle’ reservoir and the C16 is the ‘lower’ reservoir. These reservoirs are isolated from each other and are expected to produce different results during testing. The better reservoir quality of the C12 should deliver higher flow rates and if we connect into a number of open natural fractures anywhere in the C12 or C13 we can achieve the target rate of approximately 5 mmcf/d.”

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Source: Transeuro Energy, May 10, 2011;