Dejour to Evaluate Mancos/Niobrara Potential at South Rangely
Exploratory Drilling Program Slated for May 2011
Dejour Energy, Inc. (NYSE Amex: DEJ / TSX: DEJ) ('Dejour?) announces
today that it will drill an initial vertical well to test the
Mancos/Niobrara potential on its 7,000-acre leasehold in Rio Blanco
County, Colorado. This leasehold sits on the western flank of the
Douglas Arch, separating the Piceance and Uintah Basins, directly south
of the Rangely Oil field operated by Chevron since the 1960's.
This well will be drilled in May 2011 and is designed to test both the
upper and lower Niobrara sections of the Mancos Shale. In this area, the
targeted zones are known to contain both oil and natural gas. It should
be noted that private operators R. W. Bayless and Foundation Energy are
currently exploiting the lower Mancos zone, approximately six miles to
the southwest of Dejour′s proposed well location. Pending a successful
outcome of the test well in proving the extension of the play to
Dejour′s leasehold, Dejour, project operator and 72% working interest
holder, plans to commence a formal horizontal well development program.
Germaine to this operation, a secondary target in the upper Mancos known
as the Castlegate Sand will also be evaluated within this initial test
well.
'The economics of assessing the production potential at South Rangely
offers significant production upside with minimal capital expenditure.
With a dry hole cost projected to be less than $500,000, this is a very
low cost test that may open the door to a much broader and more
significant development project through the application of current
horizontal well drilling and completion technology?, states Dejour COO
Hal Blacker.
About Dejour
Dejour Energy Inc. is an independent oil and natural gas company
operating multiple exploration and production projects in North
America′s Piceance Basin (107,000 net acres) and Peace River Arch
regions (15,000 net acres). Dejour′s seasoned management team has
consistently been among early identifiers of premium energy assets,
repeatedly timing investments and transactions to realize their value to
shareholders' best advantage. Dejour maintains offices in Denver, USA,
Calgary and Vancouver, Canada. The company is publicly traded on the New
York Stock Exchange Amex (NYSE Amex: DEJ) and Toronto Stock Exchange
(TSX: DEJ).
Statements Regarding Forward-Looking Information: This news
release contains statements about oil and gas production and operating
activities that may constitute 'forward-looking statements' or
'forward-looking information? within the meaning of applicable
securities legislation as they involve the implied assessment that the
resources described can be profitably produced in the future, based on
certain estimates and assumptions. Forward-looking statements are based
on current expectations, estimates and projections that involve a number
of risks, uncertainties and other factors that could cause actual
results to differ materially from those anticipated by Dejour and
described in the forward-looking statements. These risks, uncertainties
and other factors include, but are not limited to, adverse general
economic conditions, operating hazards, drilling risks, inherent
uncertainties in interpreting engineering and geologic data,
competition, reduced availability of drilling and other well services,
fluctuations in oil and gas prices and prices for drilling and other
well services, government regulation and foreign political risks,
fluctuations in the exchange rate between Canadian and US dollars and
other currencies, as well as other risks commonly associated with the
exploration and development of oil and gas properties. Additional
information on these and other factors, which could affect Dejour′s
operations or financial results, are included in Dejour′s reports on
file with Canadian and United States securities regulatory authorities.
We assume no obligation to update forward-looking statements should
circumstances or management's estimates or opinions change unless
otherwise required under securities law.
The TSX does not accept responsibility for the adequacy or accuracy
of this news release.
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Dejour Energy, Inc.
Vancouver
Robert L.
Hodgkinson,
Co-Chairman & CEO
Phone: 604-638-5050
Facsimile:
604-638-5051
Email: investor@dejour.com
or
New
York
Craig Allison
Investor Relations
Phone:
914-882-0960
Email: callison@dejour.com
