announcement

I think we just might have a future..........


Grieve EOR Project
Radial Core Flood Laboratory Results
HIGHLIGHTS
• Surtek has completed 6 of the 16 planned radial core flood laboratory tests.
• The first 6 tests were done to provide a definitive answer about the viability of a chemical flood
enhanced oil recovery (EOR) project for the Grieve Muddy reservoir.
• Surtek’s conclusion from these tests is that “the Grieve Field is a very good application for
chemical flooding”
• Further, Surtek’s recommendation after these tests is “to proceed with developing a project for
chemical flooding”
• The test results indicate that a well executed, full-field chemical flood development could
achieve an incremental recoverable reserve estimated to be in the order of 13.6 million barrels.
• Elk believes this number to be conservative based on the Original Oil in Place (OOIP) for the
field being greater than the 78.2 million barrels. The final determination of the OOIP will come
from history matching the field production and reservoir simulation, currently underway.
• The remaining final (10) radial core flood tests will arrive at the final chemical selection to
achieve optimum crude recovery and the most attractive economic outcome for the Company
and its shareholders.
• Future announcements will outline the development plan and schedule for the Grieve Muddy