Growth Through Successful Exploration and Drilling Strategies
The Preeceville / Endeavour Property
The Preeceville region is, in the Company's view, an area of great promise and potential. The Company has an 80% interest in 31,999 gross acres of P&NG leases with rights to the basement.
Nordic entered into a strategic development agreement with a major international oil company whereby Nordic has secured an interest in six townships of their land in Preeceville, Saskatchewan. The ensuing exploration work on the lands will result in this company having the option to participate on a 50-50 go forward basis with Nordic, or allow Nordic to retain a 100% interest in the land with the other company earning a Gross Overriding Royalty.
In October 2007, the Company engaged the services of Petro-Find Geochem Ltd. to undertake hydrocarbon soil gas surveys in its most northerly permit in Townships 40, Ranges 4 and 5 W2 in Preeceville. During the course of sampling, the Consultant discovered oil seeps. Laboratory analysis on the oil seeps confirmed the presence of oil in the samples received. All together, evidence of 34 seeps was been found on the property, of which three were very extensive.
In the early summer of 2008, the Company drilled its initial two wells in Preeceville in search of oil. The first well showed some indications of the presence of oil during the drilling - an oil film and droplets of oil in the drilling fluid coming over the shaker were found, and that some oil staining was seen on some samples that were taken. Furthermore, some samples had good porosity. However, due to the intersection of faults, the well deviated and the drilling tools became lodged in the hole and cannot be dislodged. As a result, the well was abandoned.
Drilling of the second well was completed and the Company discovered oil in two formations. The well reached the basement and the Company then drilled a further 15 metres of overhole to allow for production. Unfortunately, following the completion of the perforating and testing, it was determined that the well did not have any production capabilities.
The Company drilled a new exploration well near Endeavour, Saskatchewan at the end of 2010. On December 15 drilling activities commenced in Endeavour and the well was spud. On December 23, the Company announced the successful completion of drilling of the well Shortly after the Company entered the Red River formation at around 890 metres, signs of oil began coming over the shaker. Over the course of the drilling of the next 100 metres, a dozen oil samples were retrieved and were sent to a major laboratory in Calgary, Alberta for further analysis. Logging was also completed shortly thereafter and the logs were interpreted and analyzed by the Company’s team of geologists. On December 29, 2010, the Company announced that the laboratory analysis of the samples taken from the drilling of the 4-11-35-4 W2 site in Endeavour had been completed and that all samples showed the presence of hydrocarbons. In addition, the well logs also suggested that hydrocarbons were present, along with very good dolomite porosity – as high as 21%. Given these results, four separate intervals were selected for perforating.
At the completion of perforating, the Company had collected in excess of 100 samples, which all were sent to the laboratory in Calgary for analysis. The lab findings were then sent to Petro-Find Geochem – the company that made the initial discovery of the oil seeps in the region in 2008 – to evaluate the BTEX concentrations. The analysis of 11 of the fluid samples was found to exhibit significantly high concentrations of benzene, indicative of oil accumulations.
At present, the Company is planning to undertake an acid squeeze and is in the process of securing the necessary services.INTERPRETATION
FORMER
10-25 WellPROPOSED
04-11 LocDrilled on Structure High
No
Yes
Salt Evaporite Present No Yes Reservoir Yes Yes The well was drilled in mid-December and oil samples have been sent to the lab for analysis.
Preeceville Property Map
Oil Seep photos from Preeceville
Other Properties:
The Peace River Arch / Talbot Lake Property
