TORONTO, ONTARIO-(Dec. 3, 2009) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
New Sage Energy Corp. (TSX VENTURE:NSG), has expanded its initiative into the US Gulf States region with an agreement to develop a second project with Gulf South Operators (GSO) of New Orleans, Louisiana. The Ledezma #1 well will be drilled into the B-1 Zone of the Austin-Chalk formation within the Pearsall Oil Field located in Frio County, Texas.
In the Pearsall field oil and associated natural gas is trapped within southwest to northeast trending fractures and the proposed well will be drilled along a 4000' horizontal lateral at 90 degrees to these fractures. Austin Chalk matrix porosity and permeability are very low and the movable oil and gas is trapped within the fractures. Previous horizontal drilling programs in the Pearsall Field demonstrate that the longer the lateral, the greater the opportunity of encountering multiple fracture zones and maximizing production.
Estimated project costs are US $2.21 million for a completed well test and New Sage has taken a 25% working interest in the well and the project. Participation in the proposed well provides working interest partners with the option to participate in the drilling of additional wells within the Austin Chalk B-1 zone under similar terms as well as future participation in the exploration of the Austin Chalk C-Zone, an under-explored and historically more prolific oil production zone than the B-1 Zone.
New Sage Energy is a Canadian oil and gas exploration and development company with a focus on opportunities in South America and the US Gulf States region.
Forward-Looking Statements: This news release contains forward-looking statements that involve risks and uncertainties. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by New Sage Energy Corp. The forward-looking statements or information contained in this news release are made as of the date hereof and New Sage Energy Corp. does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION:
New Sage Energy Corp.
Eric Fredrickson
416-309-4320
