Energas Resources, Inc. EGSR) today announced
that a successful stimulation of the Carothers 1-19 well in their
Kansas field has raised production from that well from 6 barrels of
oil per day to 28 barrels of oil per day. This new oil production
essentially doubled the revenue from the field as a whole due to
favorable current oil prices. Energas owns a 16.75% WI equal to a
13.7% net revenue interest in the field. "We continue to have
confidence that 2006 will see our production ramp up and lead to
commensurate increases in other relevant metrics such as revenue, cash
flow, earnings and reserves," stated George Shaw, President.
"While we have been correcting some start-up equipment problems in
our Parkway Project, we have continued to see signs of good production
of both oil and gas from these wells," said Shaw. "Our new engineer
has been diligently working the wells and pipeline equipment in his
first two weeks on the job, and we expect to have production rates as
soon as he works out the issues. We have been impressed with his
efforts and are very pleased that he is on our team."
Safe Harbor Statement
When used in this press release, the words "intends," "believes,"
"anticipated" and "expects" and similar expressions are intended to
identify forward-looking statements. Such statements are subject to
risks and uncertainties, which could cause actual results to differ
materially from those projected. Factors that could cause or
contribute to such differences include normal risks associated with
oil and gas drilling activities. In addition, adverse weather
conditions can hinder or delay operations, as can shortages of
equipment and materials or unavailability of drilling, completion,
and/or work-over rigs. Even though a well is completed and is found to
be productive, water and/or other substances may be encountered in the
well, which may impair or prevent production or marketing of oil or
gas from the well.
KEYWORD: NORTH AMERICA KANSAS OKLAHOMA UNITED STATES
INDUSTRY KEYWORD: ENERGY OIL/GAS MANUFACTURING ENGINEERING NATURAL RESOURCES EARNINGS
SOURCE: Energas Resources, Inc.
CONTACT INFORMATION:
Energas Resources, Inc., Oklahoma City
Scott Shaw, 405-879-1752
www.energasresources.com
or
Martin E. Janis & Company, Inc.
Bev Jedynak, 312-943-1100 ext. 12
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