Bridge Resources announced that the Bridge North Sea Ltd. holds 100% working interest in Durango 48/21a-4Z well continues to be an excellent producer, presently delivering 25 million cubic feet of gas and 700 barrels of condensate per day on a constrained 40% choke. The well has pumped 2.06 BCFG and 58,431 BO through March 31, 2009 and this cumulative production volume at present allows preliminary material balance reserve estimates to supplement earlier volumetric reserve estimates.
GLJ Petroleum Consultants Ltd. (GLJ), was commissioned by Bridge Resources to determine Durango reserves and assessment and has provided the following preliminary independent estimates effective March 31, 2009 in accordance with National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities:
The GLJ reserve numbers eliminate the 2.41 BCFE produced through March 31, 2009. GLJ also states that the flowing material stability estimate included in the proved producing and proved plus probable producing numbers should be viewed as an absolute minimum. The net present values account for gas back-out under the existing profile and are based on GLJ pricing predicts as of March 31, 2009. However, the GLJ NPV numbers exclude the incremental value of the financial put beginning July 1, 2009 that hedges 4.8 BCFG over 12 months at 50p/therm ($7.33/mcf).
