Americas Petrogas Provides Updates on its Unconventional Oil & Gas Operations in Argentina

Americas Petrogas provides an update on its shale oil and gas operations in Argentina.

On the Totoral block (Americas Petrogas – 90% working interest and operator), the Company has completed all logistics and is about to perform an hydraulic fracture stimulation program, followed by testing of the La Hoya well, LHo.x-1, which completed drilling in July 2012. The Totoral block is located at the southern region of the Neuquen Basin where the Company has identified the Vaca Muerta at a much shallower depth compared to other parts of the Basin.

On the Los Toldos II block (Americas Petrogas – 45% working interest and operator), the Los Toldos Este well, LTE.x-1, which completed drilling earlier in 2012 and completed fracing in September, continues to be flow tested.

On the Los Toldos II block, the Aguada de Afuera well, ADA.x-1, which was spud in early October 2012 continues to be drilled and is currently at a depth of approximately 2,750 metres (9,022 feet) with a projected total depth of 3,350 metres (10,990 feet).

On the Los Toldos I block (Americas Petrogas – 45% working interest and operator), drilling of the ALL.x-1 well was completed in September 2012 and analysis of the cores and cuttings is underway and leading towards developing a plan for future completion and testing.

On the Huacalera block (Americas Petrogas -- 39% working interest and operated by Apache), the Hua.x-1 well, which completed drilling in the third quarter of 2011, is being prepared for a second frac in another zone of the Vaca Muerta formation.

Mr. Barclay Hambrook, President and CEO of Americas Petrogas said, “We continue to execute on our immediate, medium-term and long-term plans to grow our oil production, reserves and resources, de-risk our shale oil and gas blocks as well as adding value to our potash and phosphate projects in Peru.”

Source: Americas Petrogas