BNK Petroleum Inc. announces Caney operations update

CAMARILLO, CA, Oct. 2, 2013 /CNW/ - BNK Petroleum Inc. (the "Company" or 
"BNK") (TSX:BKX), is providing an update on its Tishomingo Field, Caney oil 
shale operations in Oklahoma. 
The Company's Hartgraves 5-3H Caney well was successfully fracture stimulated 
in September and, while it is early in the flowback phase, the well has, over 
the last 4 days, averaged 1,200 barrels of oil equivalent per day (boepd) of 
which 585 barrels a day is oil. The early production from this well is more 
constant and twice as good as the best and previously drilled and fracture 
stimulated Caney well, the Dunn 2-2H. 
The Dunn 2-2H well had a 24 hour peak rate of 620 BOEPD of which 300 barrels 
was oil. The 30 day initial production (IP) rate for this well is 420 BOEPD 
of which 195 barrels is oil. The Barnes 6-3H well, where only 11 out of 17 
stages were fracture stimulated, had a 30 day IP rate of 200 BOEPD of which 93 
barrels was oil. 
The Company believes that the improved production achieved in each successive 
Caney well is entirely the result of continuous improvements in frac design as 
geologically no significant variations can be observed. The Company believes 
that the latest design used in the Hartgraves 5-3H well, will also reduce the 
initial production decline and increase overall recoveries by accessing a much 
larger part of the oil shale near the lateral. The estimated cost to drill 
and complete the current set of new Caney wells is approximately $11 million 
per well. It is anticipated that with further design optimization and a 
continuous drilling and stimulation program, these costs can eventually be 
reduced to between $7 and $9 million per well. 
The Company's latest Caney well, the Barnes 7-2H, has been vertically drilled 
and whole core and a full suite of open hole logs were taken through the 
Caney, T-zone and Upper Sycamore formations. This data was acquired to 
further understand the reservoir, optimize drilling and fracture stimulation 
designs, prepare the development program, support reserves estimates and aid 
in the end of year reserves report. Subsequently, the well was plugged back 
and is currently drilling the lateral portion of the horizontal leg. It is 
anticipated that fracture stimulation operations will begin near the end of 
October. The drilling rig will then be moved to the next location, the 
Wiggins 12-8H. 
The Company has approximately a 100% working interest in each of the five 
Caney wells referred to above. As a result of the Company's recent 
operations, the Company's net acreage in the Caney formation in the Tishomingo 
Field has increased to approximately 13,600 acres. 
About BNK Petroleum Inc. 
BNK Petroleum Inc. is an international oil and gas exploration and production 
company focused on finding and exploiting large, predominately unconventional 
oil and gas resource plays. Through various affiliates and subsidiaries, the 
Company owns and operates shale gas properties and concessions in the United 
States, Poland, Spain and Germany. Additionally the Company is utilizing its 
technical and operational expertise to identify and acquire additional 
unconventional projects outside of North America. The Company's shares are 
traded on the Toronto Stock Exchange under the stock symbol BKX. 
Caution Regarding Forward-Looking Information 
Certain statements contained in this news release constitute "forward-looking 
information" as such term is used in applicable Canadian securities laws, 
including statements regarding Caney wells development including anticipated 
results, estimated costs and timing. Forward-looking information is based on 
plans and estimates of management and interpretations of exploration 
information by the Company's exploration team at the date the information is 
provided and is subject to several factors and assumptions of management, 
including that that indications of early results are reasonably accurate 
predictors of the prospectiveness of the shale intervals, that anticipated 
results and estimated costs will be consistent with managements' expectations, 
that required regulatory approvals will be available when required, that no 
unforeseen delays, unexpected geological or other effects, equipment failures, 
permitting delays or labor or contract disputes are encountered, that the 
development plans of the Company and its co-venturers will not change, that 
the demand for oil and gas will be sustained, that the Company will continue 
to be able to access sufficient capital through financings, farm-ins or other 
participation arrangements to maintain its projects, and that global economic 
conditions will not deteriorate in a manner that has an adverse impact on the 
Company's business, its ability to advance its business strategy and the 
industry as a whole. Forward-looking information is subject to a variety of 
risks and uncertainties and other factors that could cause plans, estimates 
and actual results to vary materially from those projected in such 
forward-looking information. Factors that could cause the forward-looking 
information in this news release to change or to be inaccurate include, but 
are not limited to, the risk that any of the assumptions on which such forward 
looking information is based vary or prove to be invalid, including that 
anticipated results and estimated costs will not be consistent with 
managements' expectations, the Company or its subsidiaries is not able for any 
reason to obtain and provide the information necessary to secure required 
approvals or that required regulatory approvals are otherwise not available 
when required, that unexpected geological results are encountered, that 
completion techniques require further optimization, that production rates do 
not match the Company's assumptions, that very low or no production rates are 
achieved, that the Company is unable to access required capital, that 
occurrences such as those that are assumed will not occur, do in fact occur, 
and those conditions that are assumed will continue or improve, do not 
continue or improve, and the other risks and uncertainties applicable to 
exploration and development activities and the Company's business as set forth 
in the Company's management discussion and analysis and its annual information 
form, both of which are available for viewing under the Company's profile at 
www.sedar.com, any of which could result in delays, cessation in planned work 
or loss of one or more concessions and have an adverse effect on the Company 
and its financial condition. The Company undertakes no obligation to update 
these forward-looking statements, other than as required by applicable law. 
BOEs/boes may be misleading, particularly if used in isolation. A boe 
conversion ratio of 6 Mcf:1 Bbl is based on an energy equivalency conversion 
method primarily applicable at the burner tip and does not represent a value 
equivalency at the wellhead. 

SOURCE  BNK Petroleum Inc. 
Wolf E. Regener+1 (805) 484-3613 Email:investorrelations@bnkpetroleum.com 
Website:www.bnkpetroleum.com 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/October2013/02/c6851.html 
CO: BNK Petroleum Inc.
ST: California
NI: OIL  
-0- Oct/03/2013 01:59 GMT
 
 
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