WYN DEVELOPMENTS INC. UPDATES BOUGIE TRUTCH NATURAL GAS DEVELOPMENT PROJECT
Vancouver, British Columbia, Canada - March 21, 2006 - Wyn Developments Inc. ("Wyn Developments" or the "Company") would like to update shareholders on its Bougie Trutch natural gas development program. In reference to the Company's release on January 26, 2006 regarding the C-36-A well, the Company had a meeting last week with the working interest owners in the Bougie Trutch play and the Operator, Focus Energy Trust (FET.UN), updated the participants with respect to the results of this winter's two well drilling program. The two wells have been completed and flow tested and the results are currently being evaluated. The partners are working together to develop the scope of the 2006/2007 winter drilling program, the details of which should be available in August.
The C-36-A well was originally classified as a 'Development Well' as defined by the Petroleum and Natural Gas Act; Drilling and Production Regulation, under the enforcement of the British Columbia Oil and Gas Commission. As such, per the section 57 (4)(a) the Operator of well C-36- A is entitled to keep well data confidential up until "2 calendar months after the date of release of the drilling rig for (the) well or portion of (the) well classified as a development well." In light of the Operator's interpretation of the C-36-A well and prior to the release of the well data, the C-36- A well was reclassified by the British Columbia Oil & Gas Commission at the request of the Operator to an 'Exploration Wildcat' well. The completion results of this 'Exploration Wildcat' well are now classified as 'tight' at the request of the Operator and therefore no information on the well will be released until Feb 13, 2007 unless approved by the Operator.
Further to the above, Wyn Developments would like to add some clarity to the reclassification of this well. An Operator is not obligated to advise the partners in a well when requesting a reclassification, as was the case in this instance. The British Columbia Oil & Gas Commission, Resource Conservation Branch can reclassify a well when requested by the Operator, subject to the Petroleum and Natural Gas Act; Drilling and Production Regulation section 14 (4), stating that "if a well has been drilled, the well or a portion of it, on application by the operator prior to the release of information pursuant to section 57 (4), may be reclassified as an exploratory wildcat and designated as a discovery well if, in the opinion of an authorized commission employee, the drilling of the well or the portion of the well resulted in the discovery of a new oil or gas pool." Section 57 (16) also stipulates that "if, as a result of the reclassification of a well or portion of a well as an exploratory wildcat under section 14 (5), and on approval of an application from the well operator, well reports and well data from each subsequent well in the pool must be held confidential by the Ministry and the Commission until the confidentiality period for the discovery well has expired or for the period specified under subsection (4), whichever results in the later date." In reference to "Discovery" wells, the British Columbia Oil and Gas Handbook best describes the classification as one in which an "application for discovery well designation may be made at any time, and is often made when a well is completed for production, (adding that) the application must include geological, geophysical and engineering data and an interpretive analysis, which clearly demonstrate that a new pool has been discovered."
Wyn Developments wishes to reiterate that the British Columbia Oil and Gas Commission has reviewed the well data and approved the reclassification of the C-36-A well through the process described herein.
With regards to The Company's Bougie Trutch land package, Wyn Developments has earned a total of twenty-six (26) square miles from the Slave Point formation to the basement, and twelve (12) square miles (two (2) earning blocks) from the surface to all zones above the Slave Point. The Company also has a working interest in all other sections within the 26 sections (26 square miles) land package. The Company also wishes to reinforce its commitment to the continued development of this 26 sections (26 square miles) land package.
About Canada Rare Earths
Canada Rare Earths is a growth company focused on the exploration and development of rare earth elements at its 100% owned Goeland Rare Earths Project within the Montviel carbonatite complex, Montviel Township Quebec, immediately adjacent to Geomega's (TSX-V: GMA) recent rare earth discovery. The Goeland property located 215 km north of Val-d'Or, is road accessible and consists of 47 claims totaling approximately 2,600 hectares. Since the acquisition of the Goeland Project, the Company, in a short period of time, has successfully established itself in one of the largest Carbonatite complexes in North America. Worldwide, carbonatite-related deposits are a major host for rare earths elements ("REE"). The world's most advanced and prolific REE deposits in production or development, Bayan Obo (China), Molycorp's Mountain Pass (USA), Lynas's Mount Weld (Aus), and Rare Earth Element Resource's Bear Lodge project, are all hosted by carbonatites.
For more information on Canada Rare Earths, please contact our Head Office.
On Behalf of the Board of Canada Rare Earths Inc.
Chad McMillan
President & CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. All of the above is subject to TSX.V and regulatory acceptance.
FORWARD LOOKING STATEMENTS
Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release, including statements regarding the Company's Pre-Development Agreement and the exploration of the Goeland Project, constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company is able to obtain any required government or other regulatory approvals and any required financing to complete the Company's obligations pursuant to the Pre-Development Agreement and planned exploration activities, that the Company is able to procure equipment and supplies in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management's expectations. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors relating to Canada Rare Earth's operation as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks may include, among others, actual results of the Company's exploration activities being different than those expected by management, uncertainties involved in the interpretation of drilling results and geological tests, delays in obtaining required government or other regulatory approvals or financing, inability to procure equipment and supplies in sufficient quantities and on a timely basis, equipment breakdowns and bad weather. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. Canada Rare Earths does not intend, and expressly 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 as required by law.
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