Faced with "risk-adverse" South Oriental capitalists, Calgary-based mid-size producer Bellatrix Expedition deserted a C$ 300 million (US$ 289 million) joint-venture yet is certain it can have a new collaboration in place within two months, Bellatrix CEO Ray Smith claimed Tuesday.

cooling tower water treatment chemicals following time we make a statement [on a deal] it will be shut," he told analysts during a teleconference.

Smith returned Monday from a week in Korea when he said Bellatrix expected the JV with an unrevealed Oriental firm to accelerate development of a Cardium light oil source play in Alberta would certainly close, or at worst need a 30-day expansion from the May 31 target date.

Rather, he discovered that the Korean investor, which has been explained by Bellatrix as an exclusive mutual fund, turned edgy and also was not prepared to move on.

Smith stated his impact is that "nobody [in Korea] intends to risk an error because that would cost them their task."

He said the Korean business conducted two independent engineering evaluations of the Cardium possibility and also both reports showed "much more hostile [development] contours" than three separate records appointed by Bellatrix.

When the closing problems were not fulfilled by the May 31 deadline, Bellatrix "chose to end the procedure," as well as seek take care of other interested parties in Korea and The United States And Canada, Smith claimed.

He claimed Bellatrix's priority is to increase development of what he described as a 40-year land stock on terms that match those of the original JV arrangement.

The proposal was introduced in January as well as would certainly have seen the companions contribute similarly to pierce 83 more than 2 years in Canada's largest light oil formation.

Developed in late 2009, Bellatrix produced 19,343 barrels of oil equivalent/d in the very first quarter, up regarding 3,440 boe/d from a year earlier, in Alberta, Saskatchewan and British Columbia. It is currently averaging 22,500 boe/d and also anticipates to exit 2013 at about 32,000 boe/d. The business connects a lot of its development to the Cardium as well as Notikewin plays in Alberta.

Smith said the firm is waiting to bring 3 even more Cardium wells onstream, anticipating output of 1,500-2,000 b/d per well, and also still anticipates capital expense of concerning C$ 230 million in 2013.