SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported) August 31, 2000
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CANARGO ENERGY CORPORATION
(Exact Name of Registrant as Specified in its Charter)
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Delaware 0-9147 91-0881481
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(State or other jurisdiction (Commission File Number) (I.R.S. Employer
of incorporation) Identification No.)
1580, 727 - 7th Avenue SW, Calgary, Alberta T2P 0Z5
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 403-777-1185
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(Former Name or Former Address, if Changed Since Last Report)
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The matters discussed in this Report include forward looking statements, which
are subject to various risks, uncertainties and other factors that could cause
actual results to differ materially from the results anticipated in such forward
looking statements. Such risks, uncertainties and other factors include the
uncertainties inherent in oil and gas exploration, development and production
activities, the effect of actions by third parties including government
officials, fluctuations in world oil prices and other risks detailed in the
Registrant's reports on Forms 10-K and 10-Q filed with the Securities and
Exchange Commission. The forward-looking statements are intended to help
shareholders and others assess the Registrant's business prospects and should be
considered together with all information available. They are made in reliance
upon the safe harbor provisions of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
The Registrant cannot give assurance that the results anticipated herein will be
attained.
ITEM 5. OTHER EVENTS
On August 31, 2000, the Registrant announced the appointment of Mr.
Roger Brittain as non-executive Chairman of the Board of Directors, effective
September 1, 2000.
On August 31, 2000, the Registrant announced the initial results of
its horizontal well, N98H on the Ninotsminda field in the Republic of Georgia.
Production has more than tripled on this well as a result of the
horizontal sidetrack. Stabilized production rates are approximately 220 barrels
of oil and 750,000 cubic feet of gas per day, or 300 boepd. This production rate
is being achieved on a restricted 8 mm choke with a flowing tubing pressure of
some 52 atmospheres (765 psi) and a 17% drawdown. Additional stimulation and
clean-up procedures are underway.
The horizontal sidetrack was drilled to confirm the viability of
cost-effective production increases within the eastern part of the Ninotsminda
field. This section of the field is typically less productive than the central
and western part of the field, where the Registrant's more prolific producing
wells are located. Drilled at a total measured depth of 3,271 m, the 350 meter
horizontal sidetrack was completed in August 2000. The drilling was achieved on
time and under budget, at a cost of approximately $650,000.
(c) Exhibits
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99(1) Press release dated August 31, 2000 relating to the appointment of
Roger Brittain as non-executive Chairman of the Board
99(2) Press release dated August 31, 2000 relating to the results of the
Registrant's horizontal well N98H on the Ninotsminda field in the
Republic of Georgia.
99(3) Term Sheet dated August 18, 2000 relating to sale of 12,000,000 shares
of Registrant's common stock
99(4) Form of Subscription Agreement relating to sale of 12,000,000 shares
of the Registrant's common stock on August 18, 2000
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SIGNATURES
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Pursuant to the requirement of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
CANARGO ENERGY CORPORATION
Date: September 7, 2000 By: /s/Maria Rees
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Maria Rees
Corporate Secretary
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EXHIBIT INDEX
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FILED WITH
EXHIBIT THIS
NUMBER EXHIBIT REPORT
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99(1) Press release dated August 31, 2000 relating to the appointment
of Roger Brittain as non-executive Chairman of the Board X
99(2) Press release dated August 31, 2000 relating to the results
of the Registrant's horizontal well N98H on the Ninotsminda
field in the Republic of Georgia. X
99(3) Term Sheet dated August 18, 2000 relating to sale of 12,000,000
shares of Registrant's common stock X
99(4) Form of Subscription Agreement relating to sale of 12,000,000
shares of the Registrant's common stock on August 18, 2000 X
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