WYN DEVELOPMENTS COMPLETES THE PROPHET RIVER 51-101 REPORT
Vancouver, British Columbia, Canada - April 18, 2006 - Wyn Developments Inc. ("Wyn Developments" or the "Company") announces that it has received the national instrument 51-101 compliant report for the Prophet River, British Columbia, natural gas exploration project. In this report, Nicholas Baiton, P.Eng elaborates on the potential of the Prophet River Slave Point target, as well as the other prospective stratigraphic zones of the area.
The Prophet River lands are underlain by the Beaverhill Lake Group, which include such world class Slave Point Formation discoveries as the Ladyfern, Clarke Lake, Cranberry, and Hamburg pools. The primary target of Wyn’s Prophet River test well is this prolific Slave Point Formation. The Slave Point is Devonian in age and described as light yellowish to dark brown limestone, interbedded with finely crystalline dolomite and thin shale laminae. Locally, the formation has been recrystallized to coarsely crystalline dolomite.
The Slave Point gas reservoirs of Western Canada have a common denominator. They have been dramatically altered by a process called High Temperature Dolomitization (HTD), where hot sub-sedimentary fluids originating in faults and fractures in the basement rocks migrate up into overlying porous sediments and alter the basic sedimentary fabric, resulting in many cases in highly porous (greater than 30%) reservoirs. Some areas of extreme alteration exhibit a physical collapse. At the proposed Prophet River test well location, 2D seismic coverage indicates the location is fractured by basement generated faults, which satisfy the conditions described above. Baiton also describes the location as a five cycle Slave Point buildup.
The report also mentions the exploration potential of other stratigraphic zones, including the Halfway, Debolt, Kiskatiwan, Pekisko and Sulphur Point formations with particular attention to the Halfway.
The Halfway zone is a proven producer in northeastern British Columbia. To the east of the proposed drill location is the Tommy Lakes field which has produced 157 bcfg with estimates suggesting in excess of 400 bcfg reserves. The Halfway Formation is Middle Triassic in age and described as being comprised of massive sandstones in part dolomitic. Many of the Triassic oil and gas fields are hosted in stratigraphic traps, and Baiton suggests that the Prophet River 2D seismic provided by the Farmor indicate both a positive structural feature in the Halfway and potentially a trap mechanism. In addition, a well drilled to the southeast of the Prophet River property flow tested at 3 MMcfd from the Halfway Formation.
The test well Operator has previously spent a total of $3.02 million on the Prophet River Property for 2D seismic and land acquisition. The 2D seismic has identified target areas within six stratigraphic sections as well as structural settings. 3D seismic is currently underway to further delineate and refine the bottom hole location.
Drilling on the property is expected to commence within three to five weeks and Wyn Developments has adequate funding to finance its share of the costs on this project.
Wyn will incur 33.3% of all costs to completion for a 21.67% working interest in this test well. Upon completion of this first well, Wyn will earn its interest in all zones from surface to the deepest zone drilled in all of the Farmout Lands (11 sections). Upon successful completion of the first well, a second option well may be drilled, and Wyn’s participation will earn the Company an interest in an additional 10 sections. The project Operator has a 2.5% gross overriding royalty (GORR) and 35% working interest as per the agreement, with the option to convert their 35% working interest to an additional 12.5% GORR, for a total 15% GORR. The acquisition is subject to TSX Venture Exchange acceptance.
On Behalf of the respective boards,
WYN DEVELOPMENTS INC.
David McMillan
President & CEO
ABOUT WYN DEVELOPMENTS INC.
Wyn Developments Inc. is a western Canadian focused junior resource exploration and development company. The Company’s primary activities include three natural gas development properties; the Prophet River, Bougie Trutch, and Trutch East projects, which include three Triassic Halfway Development wells now in production. The Company is currently engaged in forming a business combination with three partners of these properties to create a new junior Canadian natural gas development company.
The above is subject to TSX Venture Exchange approval.
INQUIRIES
Chad McMillan/Dave McMillan
(604) 685-5851 or Toll Free: (888) 685 5851
Investor Relations
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements including expectations of future production. More particularly, this press release contains statements concerning the Partners’ future production estimates, expansion of oil and gas property interests, exploration and development drilling, regulatory applications, payout estimates, capital expenditures, and drilling locations to be drilled in 2007/2008. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), commodity price, price and exchange rate fluctuation and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional information on these and other factors that could affect the Partners’ operations or financial results are included in the Partners’ reports on file with Canadian securities regulatory authorities. The forward-looking statements or information contained in this news release are made as of the date hereof and the Partners undertake no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. Oil and Gas Advisory. This press release may contain disclosure expressed as "boe". All oil and natural gas equivalency volumes have been derived using the ratio of six thousand cubic feet of natural gas to one barrel of oil. Equivalency measures may be misleading, particularly if used in isolation. A conversion ratio of six thousand cubic feet of natural gas to one barrel of oil is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
