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In many cases, the end of the year gives you time to step back and take stock of the last 12 months. This is when many of us take a hard look at what worked and what did not, complete performance reviews, and formulate plans for the coming year. For me, it is all of those things plus a time when I u...
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Americas Petrogas New Shale Oil Exploration Discovery in the Southwest Region of the Neuquen Basin

CALGARY, ALBERTA -- (Marketwire) -- 02/26/13 -- Americas Petrogas (TSX VENTURE:BOE) ("Americas Petrogas" or the "Company") is pleased to announce a new light oil discovery on its Totoral block in the Southwestern region of the Neuquen Basin, Argentina. The discovery well, LHo.x-1, drilled and established oil production potential from the Vaca Muerta Shale in a new and large region, the Picun Leufu Sub-Basin, which extends over much of the Company's three southernmost blocks -- Totoral, Yerba Buena and Bajada Colorada (1,126,600 acres or 4,559 square kilometres or 1,760 sections).

Mr. Barclay Hambrook, President and CEO of Americas Petrogas, said, "This new exploration discovery is very exciting for Americas Petrogas as it adds significant exploration upside to a very large area where the Vaca Muerta formation could be produced at relatively shallow depths. I thank our team for their dedication and their decision-making, which were instrumental in this new discovery."

The LHo.x-1 well was drilled (approximately 1900 metres total depth), cased and cemented in mid-2012. It intersected the Vaca Muerta Shale formation with thickness of 666 feet or 203 metres with oil and gas shows through the whole shale column. During drilling, hydrocarbon shows were also encountered and data acquired in the Mulichinco (299 feet thick), Quintuco (2,172 feet thick), and Quebrada del Sapo (190 feet thick) formations.

In January 2013, a three-stage hydraulic stimulation program was performed in the Vaca Muerta shale formation. After the initial clean-up flow back, the well produced through an electrical submersible pump during a 20-day test period at a total liquid rate of 300 to 600 barrels per day (bpd) which included 30 to 60 barrels of oil per day (bopd) of high quality light sweet oil, 33 degrees API gravity. During this test period the well did not show any rate decline. Currently, the LHo.x-1 well is shut in for a Pressure Build-Up Test that will be followed by a test to determine the fluid contribution of each interval that was hydraulically stimulated. As well, core analysis and studies are still in progress.

Mr. Guimar Vaca Coca, Managing Director of the Company's Argentina operation, said "This new discovery proves that the Vaca Muerta is over-pressured at a shallow depth and could increase the known extent of the Neuquen Basin, which could potentially increase hydrocarbon resources for Americas Petrogas, the Neuquen Province, and Argentina as a whole."

Americas Petrogas (Operator) holds 90% working interest on the Totoral, Yerba Buena and Bajada Colorada blocks and Gas y Petroleo del Neuquen has a 10% working interest.

Additional information about this new discovery is available at the following link: http://americaspetrogas.com/presentation/LaHoya%20VM%20Oil%20Discovery%20Slides%20with%20Press%20Release%20Feb%202013.pdf

About Americas Petrogas Inc.

Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has conventional and unconventional (shale and tight sands) oil and gas interests in numerous blocks in the Neuquen Basin of Argentina. Americas Petrogas has joint venture partners, including ExxonMobil and Apache, on various blocks in Argentina. For more information about Americas Petrogas, please visit www.americaspetrogas.com

Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

In particular, statements (express or implied) regarding the ability of the Company to continue to test the LHo.x-1 well and/or to commercially produce or sell oil, gas or other hydrocarbons from the LHo.x-1 well (or any one of the formations contained therein), including the timing of such activities, and the future cost of future drilling and completion, including the relative cost compared to other areas, should all be viewed as forward looking statements. The presence of hydrocarbons from the LHo.x-1 well is not necessarily indicative that hydrocarbons are capable of being successfully produced in commercial quantities or at all. There is no assurance reserves will be assigned to such hydrocarbon bearing formations. There is no assurance that future wells will be drilled on Totoral, Yerba Buena, Bajada Colorada or other blocks, or that if drilled, such wells will be successful or commercial.

There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this press release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.

Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements, if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

Any references in this press release to test rates, flow rates, initial test or production rates, and/or early production rates are useful in confirming the presence of hydrocarbons; however, such rates are not necessarily indicative of long-term performance or of ultimate recovery. Such rates may also include recovered "frac" fluids used in well completion stimulation. Readers are cautioned not to place reliance on such rates in calculating the aggregate production for the Company.

Where applicable, natural gas has been converted to barrels of oil equivalent ("BOE") based on 6 Mcf:1 BOE. The BOE rate is based on an energy equivalent conversion method primarily applicable at the burner tip and does not represent a value equivalent at the wellhead. Use of BOE in isolation may be misleading.

NEITHER THE 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.

Contacts:
Americas Petrogas Inc.
Barclay Hambrook, P. Eng., MBA
President and CEO
(403) 685-1888
inquiries@americaspetrogas.com
www.americaspetrogas.com

About Marketwired .
Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

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