GMXR is a ‘Pure Play’, E & P company that has significant Haynesville / Bossier Shale acreage in East Texas and North Louisiana.
The Company has 435 BCFE in proved reserves at December 31, 2007 that are 94% natural gas and as of July 31, 2008, an internally estimated 3.2 TCFE in total 3P reserves which includes 480 net undrilled Haynesville /Bossier 80 acre horizontal locations, 163.9 net Cotton Valley ("CV") producers; and 890 net CV un-drilled locations.
Eight drilling rigs are currently developing the Company’s contiguous, multi-layer gas resource play on the Sabine Uplift; Carthage, North Field, in Panola & Harrison County of East Texas, and Caddo Parish of North Louisiana. The Company has invested $70 million in infrastructure which has contributed to very low finding and development costs. The Company’s properties also have 31 net Travis Peak/Hosston Sands & Pettit producers.
These multiple resource layers provide high probability and repeatable, organic growth with 100% drilling success. The Company, headquartered in Oklahoma City, Oklahoma, has interests in 210 net producing wells and operates 77% of its reserves. The Company’s strategy is to grow shareholder value through acceleration of development, acreage additions that achieve operational growth around its core area, and converting its natural gas reserves to proved, while maintaining a balanced and prudent approach to financial management.
GMX Resources: Strong Growth Should Continue
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