VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 18, 2012) - RockBridge Resources Inc. ("RockBridge" or the "Company") (TSX VENTURE:RBE) is pleased to announce that it has signed a letter of intent with an Alberta oil and gas company for a cash sale of the Company's interests in its Pembina Cardium properties. Further details will be provided on the closing of the sale expected to be completed next month.
On the sale of the Pembina properties, the Company will focus on its existing projects, which comprise the majority of the Company's assets, and on projects under consideration in its strategic alliance with Crimson Energy Ltd., including those in the Violet Grove area of Alberta. As well, on the completion of the sale, the Company's improved finances will greatly facilitate seeking out new Western Canadian oil and gas opportunities.
RockBridge continues moving forward with its joint venture projects in the Violet Grove and Knopcik areas of Alberta. At Knopcik, RockBridge holds a 50% working interest and Crimson holds the other 50% WI. The Knopcik well was completed in the Nikanassin formation in 2006 and a test earlier this year yielded a flow rate of 600 mcf per day of gas. An evaluation of the reserves conducted in accordance with NI 51-101 Standards determined the gross proven and probable undeveloped reserves to be 970 MMCF of sales gas, with a PV10 value of the 50%WI of more than $1 million. Future plans are to re-stimulate, test and tie in the well in 2013 when gas prices are anticipated to improve.
RockBridge continues with its interest in the Woodrush oil and gas project in BC. The project consists of 9 wells currently producing about 527 BOE per day, and with water flooding under way, the operator is targeting that production will rise to 800 BOE per day in the next several months. The Company holds a 1.0% interest in Woodrush, along with a 50% interest in a small producing oil well in the Bantry area of Alberta and interests in other non-operating projects in Alberta.
ON BEHALF OF THE BOARD
ROCKBRIDGE RESOURCES INC.
Mike O'Byrne, President & CEO
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This news release may include statements about expected further events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. RockBridge cautions that actual performance will be affected by a number of factors, many of which are beyond its control. Future events and results may vary substantially from what RockBridge currently foresees. Discussion on the various factors that may affect future results is contained in RockBridge's recent filings, available on SEDAR.
Reference to BOE means barrels of oil equivalent and is derived by converting gas to oil at the ratio of six thousand cubic feet (mcf) of gas to one barrel (bbl) of oil. BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner top and does not represent a value equivalency at the wellhead. References to BOEPD means barrels of oil equivalent per day.
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