Cascade Energy, Inc. (the Company) formerly (Pro-Tech Holdings Ltd.) - Cascade Energy acquires Coyote Creek natural gas play, Sa
11 May 2005 - 12:00AM
PR Newswire (US)
Cascade Energy, Inc. (the Company) formerly (Pro-Tech Holdings
Ltd.) - Cascade Energy acquires Coyote Creek natural gas play,
Sacramento Basin California SACRAMENTO, CA, May 10
/PRNewswire-FirstCall/ -- Cascade Energy, Inc. (OTCBB: CSCE), today
announces that, further to the news release disseminated on April
20, 2005 concerning the acquisition of certain mineral claims, the
Company has executed a farm-in agreement with a private company to
acquire a 49% working interest in the Coyote Creek Project. Under
the terms of the farm-in agreement, Cascade will earn the 49%
working interest in the project by drilling, casing and completing
one exploratory natural gas well on the leased acreage. The Coyote
Creek natural gas prospect is located at the northern end of
Sacramento Basin in Tehama County, California. The prospect is
exploring for a new gas field, which is seven miles north of the
Corning Gas Field that produced approximately 8 Bcf gas from the
Tehama Formation. The primary objective of the prospect is the
prolific Upper Cretaceous Forbes Formation. The Forbes Formation
contains sands that represent the most prospective gas target at
the Coyote Creek prospect. Deeper wells within the prospect area
have encountered well developed, reservoir quality sands within the
Lower Forbes interval. Based on stratigraphic correlations for the
Lower Forbes section within the prospect area, the Company expects
to encounter over 1,000 feet of gross (650 feet net) reservoir
quality sands and silts at the first well location, named Coyote
Creek #1. The potential for Coyote Creek is assuming a closure size
in the main fault block of 390 acres. Estimated recoverable gas
reserves range from a low-end case with one well of about 2 Bcf to
a high-end case, with multiple wells and pay zones, of 28 Bcf. The
Coyote Creek prospect is a NW - SE trending faulted anticline with
three-way dip closure and fault closure to the southwest. The
prospect is situated on the eastern, up-thrown block of the Corning
reverse fault, which is also a key structural element at the
Corning Gas Field. The Corning Fault is part of a system of faults
that are key controlling structural features in strategic gas
fields in the area such as the Malton-Black Butte Gas Field (~140
Bcf gas production), the Willows-Beehive Bend Gas Field (~420 Bcf
gas production) and the Arbuckle Gas Field (~80 Bcf gas
production). These gas fields are located south of Coyote Creek.
Several recent analog Forbes discoveries in offset gas fields to
the south have initial production rates of between 1,000 and 2,000
Mcf per day. The prospect is based on 2D seismic and well control.
A Shell Oil Company well, which is approximately 2,500 feet west of
the proposed Coyote Creek #1 drill site location, established the
presence of gas and reservoir quality sands in the prospect area
with a 1,000 Mcf per day D.S.T. (drill stem test) at 4,100 feet.
Seismic data suggests the Shell well is 150 feet structurally down
dip of the proposed Coyote Creek #1 well location. Cascade and
partners are preparing to drill a 5,000-foot test well to the base
of Forbes. The primary objective is at 4,000 feet in a Forbes sand
and silt that previously tested 1,000 Mcf per day in the down dip
Shell well. Drilling costs are estimated to be approximately
$350,000. Additional completion costs also estimated at $350,000
that includes construction of a two-mile pipeline. The drilling
contractor, subject to rig scheduling and weather conditions,
anticipates that the well will spud in four to six weeks. Safe
harbor for Forward-Looking Statements: Except for statements of
historical fact, the information presented herein constitutes
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Such forward-looking
statements involve known and unknown risks, uncertainties and other
factors which may cause the actual results, performance or
achievements of the company to be materially different from any
future results, performance or achievements expressed or implied by
such forward-looking statements. Such factors include general
economic and business conditions, the ability to acquire and
develop specific projects, the ability to fund operations and
changes in consumer and business consumption habits and other
factors over which Cascade Energy Inc. has little or no control. ON
BEHALF OF THE BOARD Cascade Energy, Inc. "s" Robert Hoegler
------------------------ "Robert Hoegler" Contact: Robert Hoegler
1-888-359-9565 DATASOURCE: Cascade Energy, Inc.; Pro-Tech Holdings,
Ltd. CONTACT: Robert Hoegler, 1-888-359-9565
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