Canadian Overseas Petroleum Limited ("COPL"), an international oil and gas exploration, production and development company with production and development operations focused in Converse County, Wyoming, USA, today announced increased oil production at its operated Barron Flats Shannon Unit.

Crude oil production from the Shannon Unit has increased by approximately 700 bbl./d, a 35% increase from the oil production reported in the Company's Press Release dated November 15, 2021. The increase in oil production is due to the commissioning of facilities to reduce the surface working pressures on the most capable producing well in the field. This well, a horizontal well previously producing at a restricted rate of 150 bbl./d, has exhibited exceptional response to the miscible flood scheme and was responsible for the peak in field oil production in August.

Barron Flats Federal (Deep) Unit Oil Discovery

Completion of the Barron Flats Federal (Deep) Unit oil discovery for oil production from the Dakota Sand has been delayed for a week or two due to issues isolating the perforated Frontier Sands from the well bore. Remedial cementing operations will be conducted this coming week, and if successful allowing for Dakota completion in the following week.

Arthur Millholland, President & CEO, commented:
"We continue to move forward with our program. As I indicated a week ago, the Shannon field is performing beyond our expectations. This well surprised us in August with its response to gas injection. The return to stable gas injection volumes in the field caused flowing pressures of the well to increase to 1150 psi this past week, much higher than those observed in August. The upgraded surface facility has permitted reduced well head flowing pressures allowing for separated produced gas to enter our gas gathering system for compression and reinjection. With this strong response, upgraded facilities and continuing stable injection volumes we expect increased oil production, from this well and additional wells in the field, in accordance with increases predicted in our recent reservoir simulation."