HOUSTON - Thursday, May 7th 2015 [ME NewsWire]
(BUSINESS WIRE)-- Frontera Resources Corporation (AIM: FRR), an independent international oil and gas exploration and production company, today announces a milestone at its gas operations in Georgia.
Since commencing gas production operations in April 2014 from the Mtsare Khevi Gas Complex, located within the Sagarejo District of its eastern Georgia, Block 12 contract area, Frontera has successfully marked one year of gas production operations.
Over the past year, Frontera’s installation of a 14-kilometer network of gathering, processing and pipeline transportation facilities culminated in the initiation of gas production operations from the Company’s ongoing drilling operations. Continuous gas sales from the area have represented the first time domestically produced non-associated gas has been continuously marketed to Georgia’s national consumption market. Together with extensive technical analysis associated with the Mtsare Khevi Gas Complex, this work has opened a historic new chapter in Georgia’s move towards energy independence.
A planned 8 well drilling program for the remainder of this year will commence in June. In addition, an 18 well workover program designed to access gas production from extensive unperforated/behind-pipe gas-bearing intervals is underway. Collectively, including the ongoing expansion of existing processing facilities, these operations are expected to bring daily gas production in excess of 7 million cubic feet per day by the end of this year. This will continue to provide increased revenue generation from the area and will also serve to further advance technical studies associated with the Mtsare Khevi Gas Complex.
Frontera recently announced results of a report by the independent consulting firm of Netherland, Sewell & Associates that confirmed combined prospective natural gas resources of as much as 12.9 trillion cubic feet (365 billion cubic meters) of gas-in-place, with as much as 9.4 trillion cubic feet (266 billion cubic meters) of recoverable prospective natural gas resources at the Mtsare Khevi Gas Complex and Taribani Field Complex.
Steve C. Nicandros, Chairman and Chief Executive Officer commented:
“Marking the one year anniversary of our gas production operations in Georgia is an important milestone in our business as well as in the country’s historic march towards energy independence. Based on today’s national gas demand in Georgia, our extensive technical work in eastern Georgia has revealed significant gas resources that can provide more than 150 years of gas supply to the country. Moreover, as Georgia is situated on the doorstep of Eastern Europe’s consumption markets, this extensive resource will no doubt also provide the foundation for enhanced domestic economic development as the country seeks to not only grow its economy but further enhance its important association with the European Union and other nearby regional markets.”
Frontera Resources Corporation
Vice President, Investor Relations and Corporate Communications
Cairn Financial Advisers LLP
Jo Turner/Avi Robinson
+44 (0) 20 7148 7900
+44 (0) 20 7466 5000