CGX Spins Bit Offshore Guyana

CGX Energy Inc. announced that the Eagle-1 well located on the Company's 100 percent-owned and operated Corentyne Petroleum Prospecting License ("PPL") has commenced drilling. The Eagle-1 well will be drilled to a depth of 13,943 feet (4,250 meters) to test the Eocene and Maastrichtian geologic zones. The well is being drilled by the Ocean Saratoga (mid-water semisub) owned by a subsidiary of Diamond Offshore Drilling, Inc. Drilling is expected to take approximately 60 days.

Steve Hermeston, President and CEO commented, "Today marks a significant milestone in the history of CGX. We are returning to drill the Eagle prospect that was halted in June 2000 due to overlapping maritime border claims between Guyana and Suriname. Renewed exploration follows over seven years of dedication and co-operation between the Government of Guyana and CGX in resolving the Maritime Boundary between Guyana and Suriname peacefully and finally through the International Tribunal of the Law of the Sea (ITLOS) process. Following the resolution of the maritime border, CGX has shot two-3D seismic surveys, creating a portfolio of prospects on the Corentyne PPL, Eagle-1 being the first well to be drilled to test the original Eocene prospect, plus a deeper Maastrichtian prospect, both of which are stratigraphic tests. The current location will significantly benefit from the 3D acquired in conjunction with advances in better understanding the optimal position to test reservoirs deposited in deep water environments."

Rigzone / CGX Energy Inc. - Monday, February 13, 2012