Vancouver, British Columbia, October 5th, 2016.
Newport Exploration Ltd ("Newport" or "the Company") received the Beach Energy Ltd ("Beach") Monthly Drilling Report published on October 5th, 2016 announcing preliminary results from Beach's FY2017 drilling programs on Ex-PEL 91 located in the Cooper Basin, Australia which is subject to the Company's 2.5% gross overriding royalty.
As reported by Beach, the Stunsail-3 development well was drilled to develop oil bearing reservoirs in the Namur and Mid-Namur Sandstone in the Stunsail Field, which is located approximately 85 kilometres northwest of the Moomba processing facility. Stunsail-3 also assessed potential for reservoir development in the Birkhead Formation. The well was cased and suspended after intersecting two metres of net pay in the Namur Sandstone and four metres of net pay in the Mid-Namur Sandstone. The well also encountered a 15 metre gross interval within the Birkhead Formation with strong oil shows. The well is to be completed as a Birkhead oil producer and is expected to be online in Beach's quarter ended December 31, 2016 ("Q2 FY2017").
Beach has now completed all three development wells in its FY2017 operated Western Flank drilling campaign. All three development wells were in line with pre-drill expectations and all are expected to be completed and come online in Beach's Q2 FY2017.
Also, as reported by Beach, the first well of Beach's operated 10 exploration well campaign for FY2017, Kangaroo-1, was spudded on 29 September 2016 and is currently drilling ahead. The well is targeting stratigraphically trapped oil within the Birkhead Formation, approximately four kilometres North West of the Spitfire Field, which produces oil from the target reservoir interval. Wellsite drilling operations are expected to take 13 days to complete.
The Company continues to strongly encourage shareholders and potential investors to access information released independently by Beach and Santos Ltd in order to keep current during the exploration and development of all the licenses subject to the Company's gross overriding royalty.
For further information contact:
Ian Rozier, Director and Chief Executive Officer
+1 604 685 6851
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Cautionary Statement on Forward-Looking Information
This news release, which contains certain forward-looking statements, is intended to provide readers with a reasonable basis for assessing the financial performance of the Company. All statements, other than statements of historical fact, are forward-looking statements. The words "believe", "should", "could", "expect", "anticipate", "contemplate", "target", "plan", "intends", "continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward-looking statements. These forward-looking statements pertain to assumptions regarding the price of oil, fluctuations in currency markets (specifically the Australian dollar and the U.S. dollar), the future funding of the Company's projects, and the future development of the Company's projects. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, which considered reasonable by the Company, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to, the risk of fluctuations in the assumed exchange rates of currencies that directly impact the Company, such as the Canadian dollar, Australian dollar and U.S. dollar, the risk of fluctuations in the assumed prices of oil, the risk of changes in government legislation, taxation, controls, regulations and political or economic developments in Canada, the United States, Australia or other countries in which the Company carries or may carry on business in the future, risks associated with developmental activities, the speculative nature of exploration and development, including the risk of obtaining necessary licences and permits, and assumed quantities or grades of reserves. Many of these uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those acknowledged in such statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.