Growth Through Successful Exploration and Drilling Strategies
Coal Bed Methane On Joffre Lands
Included in Nordic's land holdings in Joffre is an interest in 11 sections of land, which contain coal seams in the Horseshoe Canyon formation at a depth of approximately 300 - 500 metres. It is thought that the Coal Bed Methane from these seams is capable of producing 200 to 300 thousand cubic feet per day. Drilling of an initial CBM well in Joffre - the Company's first test for Coal Bed Methane - was completed in October 2004. It included coring and canister testing to prove the gas content and the potential amount that is recoverable. Analysis of the coring and canister testing will be completed in 2005.
Following the successful initial test for CBM, the Company signed an agreement in February 2005 with Trident Exploration Corp. of Calgary, for the pooling of each company's interests in section 20-38-24 W4 for all formations from the surface to the base of the Edmonton Group. A CBM well was drilled in May as part of the agreement with Trident. The well was completed and was tied-in and placed on production in late December, 2005.
In November 2005, the Company signed an agreement with Trident to farm-out certain interests on two sections of land for the purpose of drilling new CBM wells. The first of these wells was drilled in late January 2006 at the Company's 10-18-38-24 W4 site at no cost to Nordic. Two additional wells - 14-18-38-24 W4 and 7-24-38-25 W4 - were subsequently drilled in February and March. The Company has not as yet placed these CBM wells on production.
The Company announced in August of this year that it had put on to production its three Coal Bed Methane wells in Joffre, Alberta that were drilled in 2006 in conjunction with its Joint Venture partner - 10-18-38-24 W4; 7-24-38-25 W4; and, 14-18-38-24 W4. Nordic’s geologist is currently working on mapping the CBM on the Company’s land in Joffre, and upon completion Nordic will have its reservoir engineer re-evaluate the reserves in the area.
Other Properties:
The Preeceville / Endeavour Property
The Peace River Arch /Talbot Lake Property
