Save Article Instructions
Close 

Michigan pinnacle reef joint venture planned

Petrolympic Ltd., Toronto, plans to form a joint venture with Energex Petroleum Inc., Windsor, Ont.,  to acquire 50% indirect working interest in Energex‚Äôs Michigan pinnacle reef properties. Energex is working towards a public listing in Toronto.

Petrolympic will acquire the interest in return for funding development of the properties known as Addison 12-5n-11e and Bruce fields, DeWald 2-12, and Big Hand.

The companies will jointly determine uses for funds to be advanced by Petrolympic for operations such as preparation of unitization application, reworking four shut-in wells, and studying secondary recovery at Addison; preparing a natural gas storage feasibility study; and evaluating  the potential for further production at Big Hand, DeWald 2-12, and Bruce fields.

Big Hand has one shut-in well and a second well with a 12.5% gross overriding royalty. There are several operators on the reef. Historical technical reports indicate a potential for secondary recovery.

Petrolympic will also have a right of first refusal for 1 year to earn working interests in Energex properties in Ontario.


To access this Article, go to:
http://www.ogj.com/content/ogj/en/articles/2012/05/michigan-pinnacle-reef-joint-venture-planned.html