DALLAS, March 22 /PRNewswire-FirstCall/ -- International TME Resources Inc. announces that the company is receiving oil & gas revenue from TME's ORRI holdings under PEL 115, located in the prolific Cooper/Eromanga Basin. PEL 115 consists of 273,297 gross acres and consists of six (6) separate tracts. PEL 115 surrounds the oil & gas producing fields at Dullingari, Toolachee, Strzelecki, Della, and Kidman with cumulative recoverable reserves of 104 million barrels of oil and 2.5 TCF of gas.
The operator, Victoria Petroleum NL, has drilled a total of six wells on PEL 115. So far, five out of the six wells drilled on PEL 115 have been completed and put into production or are waiting production testing.
About The Mirage Oil Field:
Mirage-1 was discovered in 2004 and began oil production in January 2005. The Mirage-1 well produces from the Murta Formation and has produced over 37,000 barrels of oil to date. Mirage-2 was spudded in Feb 06 and is being completed as a Murta Formation oil well. Mirage-2 is currently shut-in pending the arrival of a swabbing unit to swab the well in for production testing.
Mirage-3 DST Flows Oil -- 324 BOPD
The Mirage-3 well spudded in March 06 and will be completed as a Murta oil producer after having successfully completed Drill Stem Test (DST) No.1.
Open hole DST No.1 over the Murta formation interval 1317-1330 meters recovered 27 barrels of clean oil with no water in the drill string over a two hour flow period equating to an estimated flow rate of 324 barrels of oil per day. The results of this DST are similar to those for the producing Mirage-1, the discovery well for the Mirage Oil Field and confirm the extension of the Mirage oil pool to this northern portion of the Mirage Oil Field. The Murta oil sands, the primary target for Mirage-3, are producing 970 meters to the southwest at Mirage-1.
TME is very pleased with the DST test results and the completion of the Mirage-3 well.
How Big Is The Mirage Oil Field?
The operator for the PEL 115 advises that interpretation of the 3D seismic data is indicating that the oil/water contact encountered in Mirage-1 is below what has been mapped as the structural closure of the Mirage feature.
This means that the Mirage Oil Field has either a stratigraphic component or the Mirage Oil Field is larger than first mapped.
The interpretation of the 3D data set suggests that Mirage-1 could be part of a larger feature covering approximately 20 square kilometers that includes the Lightning and Jindivik prospects five kilometers to the northeast.
Using conservative reservoir parameters, such an area has the possibility of containing up to 20 million barrels of oil in place.
Additional Drilling On The Mirage Oil Field
Mirage-4 Spuds
International TME Resources Inc. is also pleased to report that the Mirage-4 oil development well commenced drilling on the 19th of March 2006. At present, the operation was preparing to run 9 5/8 inch casing to 650 meters. The primary target for Mirage-4 is the Murta oil sands at 1,325 meters, producing 700 meters to the northwest at Mirage-1.
TME is pleased to commence the drilling of the third development well, Mirage-4 on the Mirage Oil Field after the initial discovery well Mirage-1. If the production testing of Mirage-2 & Mirage-3 on the Mirage Oil Field is successful, as we hope it will be, we should see an increase in production from the current 480 barrels of oil per day to a possible target of approximately 800 +/- barrels of oil per day. Any increase in oil production from the Mirage Oil Field would be timely in this current time of high oil prices.
Further exploration drilling will take place on TME's ORRI after the Mirage-4 development well, with the drilling of the Lightning-1, Jindivik-1 & Tomcat-1 exploration wells on PEL 115.
About TME:
The company has royalty interests in more than 4,651,695 acres located in two-world class petroleum basins in Australia, the Cooper-Eromanga Basin and the Gippsland Basin. Financial and management assets are currently being concentrated in acquiring additional acreage in its multi-million barrels of oil field potential in Texas named the Mega-West Field.
International
Substantial holdings have been acquired in two world class petroleum basins. The Cooper-Eromanga Basin (Onshore) located in the state of South Australia and the Gippsland Basin (Offshore) located in the Bass Straits and offshore to the State of Victoria.
Offshore
The Company has acquired royalty holdings in 370,572 acres in the Gippsland Basin. This Basin contains some of the largest fields in the world and wells that are world record Producers. One well in the Halibut Field has produced 60 million bbls. of oil -- a world record. Many TCF of natural gas have been produced from fields in this Basin.
Onshore
The Company has acquired royalty and working interest holdings in 4,281,123 acres in the Cooper-Eromanga Basin. To date, this Basin has produced a total of 11 Trillion cubic feet of natural gas and 450 million barrels of oil have been discovered. Since the first gas discovery in 1963, a total of 123 gas fields and 58 oil fields have been discovered.
This Basin was tied up by a consortium for many decades. Millions of acres were unavailable and these have just recently been opened for exploration by other companies.
TME may acquire additional interests in Australia and anticipates substantial cash flows from these basins as fields are developed and production is achieved.
For the Board
Allen White, President
International TME Resources Inc.
6370 L.B.J. FRWY., Suite 174
Dallas, TX 75240
972.458.7013 ph
Symbol: ITME
Web: http://www.tmeresources.com/
This document contains forward-looking statements within the meaning of Section 21 E of the Securities and Exchange Act of 1934, as amended. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ for reasons that include but are not limited to political and economic conditions in the countries in which the Company does or intends to do business, regulatory action, product pricing, change in drilling schedules and competitive market conditions. These forward-looking statements represent the Company's best judgment at the date of this document and any changes in assumptions or external factors could produce significantly different results.
