Alberta Oilsands flow tests Hamburg well at 19 mmcf/d

2009-03-23 10:03 ET - News Release

Mr. Shabir Premji reports

AOS ANNOUNCES TEST RESULTS ON NEW DISCOVERY AT CHINCHAGA/LADYFERN AREA

AlbertaOilsands Inc. has successfully completed a significant Slave Pointexploration discovery well at the Hamburg 13-29-095-12W6M location, inthe Chinchaga/Ladyfern area of northwestern Alberta. This well is apart of the farm-in agreement Alberta Oilsands announced in Stockwatchon Jan. 28, 2009.

Alberta Oilsands has a 50-per-cent workinginterest in the well which was spudded on Feb. 16 and was flow testedbetween March 18 and 19 at various flow rates for deliverabilitypotential. The final flow rate at the end of the test was 539,000 cubicmetres or 19 million cubic feet per day gross (1,583 barrels of oilequivalent per day net), at a flowing tubing pressure of 8,592 kPag or1,246 psig. The operator limited the extent of the atmospheric test;however, further testing will be carried out in the pipeline startingApril 1, 2009, where all produced gas will be conserved and sold.Alberta Oilsands expects this further testing will provide moredefinitive results as to the well's significant productive capability.The cumulative gas produced during the flow test was 154,000 cubicmetres or 5.4 million cubic feet. The new production will be tied inabout one kilometre from the well site and will flow to the localgathering system to be processed at the Chinchaga area gas plant.