VANCOUVER, BC, Aug. 2, 2023
/CNW/ - MCF Energy Ltd. (TSXV: MCF) (FRA: DC6)
(OTCQX: MCFNF) ("MCF Energy" or the "Company") is pleased to
announce the successful acquisition of a substantial natural gas
exploration concession ("Lech East") spanning approximately 100 km²
in Southwest Bavaria, Germany,
granted by the Bavarian State Ministry of Economic Affairs,
Regional Development and Energy for an initial term of three years.
Lech East is adjacent to another 10 km² concession ("Lech"). In a
previously drilled well at Lech, a remarkable flow test rate of
over 20 million cubic feet per day of gas was recorded. MCF
Energy's subsidiary, Genexco GmbH, holds a 20% carried interest at
Lech and plans to start drilling an offset development well in Fall
2023. The Company considers Lech (20% to MCF Energy) and Lech East
(100% to MCF Energy) as key prospects for Germany's energy security.
Highlights:
- Lech East, a 100 km² natural gas exploration concession
in Bavaria, Germany, has been
granted to a wholly owned subsidiary of MCF Energy.
- Modern 3D seismic interpretation, aided by machine
learning and AI, has yielded promising prospects, offsetting
significant historical gas and oil discoveries.
- Over 20 million cubic feet per day of gas was tested at
the Kinsau #1 well at Lech in 1983; MCF Energy is fully carried for
a 20% stake up to EUR 5 million in a
well at Lech to be drilled later this year.
- Lech and Lech East benefit from excellent accessibility
and infrastructure.
- MCF Energy plans EUR 4.6
million exploration program at Lech East, including well
drilling.
In 1983, Mobil drilled the Kinsau #1 well to a depth of
3940 metres, where it encountered basement rocks. Gas and
condensate indications were found within the Jurassic Purbeck
Formation at 3,179 metres. The well was completed by stimulating it
with acid and tested over a 22.5-metre perforated interval. The
entire well test took 3.5 months to complete. A variable rate test
was conducted on July 28th to 29th,
with three flowing rates reported: 7,712 thousand cubic feet per
day (MCFD) at 2,973 psi, 14,832 MCFD at 2,785 psi, and 24,706 MCFD
at 1871 psi. The total test pressure dropped from 4,110 psi to
4,090 psi (283.4 to 282 bar). The test resulted in a recovery of
45.9 million cubic feet (MMCF) of gas and 1,510 barrels of
condensate. These test results are not necessarily indicative of
long-term performance or of ultimate recovery.
MCF Energy has obtained proprietary 3D Seismic coverage
over Lech and Lech East. The Company's interpretation of this data,
aided by machine learning and artificial intelligence analysis, has
led to the identification and evaluation of several promising
prospects with multiple potentially productive zones. Several
prospects are offsetting or on trend with historical wells that
yielded significant gas discoveries which would be highly
commercial today, including an impressive flow test rate of over 20
million cubic feet per day of gas.
Situated approximately 55 km southwest of Munich in a rural region, Lech and Lech East
enjoy excellent surface accessibility and infrastructure, including
convenient proximity to pipelines. As part of its commitment, MCF
Energy will undertake a staged exploration work program at Lech
East, culminating in the drilling of a well by 2026 or sooner. The
three-year budget for Lech East is EUR
4.6million, including well drilling.
Peter Eckhard Oehms, MCF
Energy Managing Director for Germany, stated, "I want to thank the Bavarian
Ministry for granting this Concession in record time and convey our
commitment to working responsibly as stewards of the environment to
move this compelling project forward, with material future economic
benefits for the local communities."
James Hill, CEO and
Director of MCF Energy, stated, "We are delighted to add the
exciting Lech East project to our portfolio, ahead of the planned
drilling at our adjacent Lech concession site later this year.
Based on our interpretation of the seismic data and historical
discoveries, the Lech and Lech East concessions hold substantial
promise for development of a significant new natural gas supply for
Germany's energy
security."
About MCF
Energy
MCF Energy was established in 2022 by leading energy
executives to strengthen Europe's
energy security through responsible exploration and development of
natural gas resources within the region. The Company has secured
interests in several significant natural gas exploration projects
in Austria and Germany with additional concession
applications pending. MCF Energy is also evaluating additional
opportunities throughout Europe.
The Company's leaders have extensive experience in the European
energy sector and are working to develop a cleaner, cheaper, and
more secure natural gas industry as a transition to renewable
energy sources. MCF Energy is a publicly traded company (TSX.V:
MCF; FRA: DC6; OTCPK: MCFNF) and headquartered in Vancouver, British Columbia. For further
information, please visit: www.mcfenergy.com.
Additional information on the Company is available
at www.sedar.com under the Company's
profile.
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SOURCE MCF Energy Ltd.