POIG: Petrol Oil and Gas Opens Kansas Corporate Headquarters
Thursday May 4, 8:00 am ET
Overland Park, Kansas, Selected for Managing Local Oil and Gas Development Projects
OVERLAND PARK, Kan.--(BUSINESS WIRE)--May 4, 2006--Petrol Oil and Gas, Inc., (OTCBB:POIG - News) an oil and gas exploration and production company announced today the opening of its new corporate headquarters in suburban Kansas City.
ADVERTISEMENT
"Overland Park is a perfect location for Petrol's corporate headquarters," said Paul Branagan, Petrol's President and CEO. "This office is centrally located between our producing oil and gas fields in Kansas and Missouri and our gas market in Midwest metropolitan areas such as Kansas City. Although our corporate office is new to the area, Petrol has been an employer and operator in Kansas for approximately four years now, so we have always felt like this is home."
Branagan said Petrol operates roughly 350 oil and gas wells on portions of its mineral leases covering some 165,000 gross acres in Kansas and Missouri and according to a recent report by the Kansas Geologic Society, Petrol is ranked in the top five percent of gas producers in Kansas.
The United States Geologic Society shows that eastern Kansas and western Missouri have significant known oil and gas reserves including coal bed methane (CBM). CBM has become an important new energy source and Petrol has focused its near-term development activities on CBM production in southeast Kansas and western Missouri.
"This is part of our ReSource America program, which is Petrol's effort to do its part to ease America's dependence on foreign energy supplies," Branagan said.
"ReSource America already has numerous projects underway that have proven in their early stages of development that the region appears to be rich in coal bed methane," Branagan said, noting that the company currently employs about 20 local area operations personnel and has spent in excess of $10 million over the past five months developing its Coal Creek Project in centrally located Coffey County, Kansas.
"This is a prime example of recent technological advances, marketplace economic pressures and the availability of new energy resources converging to make the economic production of CBM and other unconventional natural gas production processes a reality," Branagan said. "It also illustrates how Kansans can lend a hand in reducing America's dependence on foreign energy sources."
Branagan said that the location of Petrol's new Overland Park headquarters was a strategic decision.
"Our new corporate headquarters locates us right in the American Heartland, where we need to be to decisively implement our ReSource America projects."
The primary ReSource America projects focus on the Coal Creek area. Already under development, the project plans call for drilling and completing some 540 wells over a three-year period while creating miles of gas-gathering pipelines and infrastructure to process, transport and sell gas in Midwest markets. To better manage development of this large acreage position and take advantage of three interstate pipelines that cross its leases, Petrol divided the project into three self-contained areas; Burlington, Waverly and Lebo. Petrol holds a 100 percent working interest (WI) and an average 80 percent net revenue interest (NRI) in the Coal Creek project's 92,000 gross acres covering coal bed methane (CBM) and other oil and gas reserves.
Petrol Oil and Gas is publicly traded on the OTC Bulletin Board under the symbol "POIG".
Forward-Looking Statement: The statements in this news release regarding Petrol's new corporate headquarters, the actual acreage under lease in Coffee County, ability of Petrol to assist in easing America's dependence on foreign energy, newly drilled wells, the success of the ReSource America initiative, amount of gas production to be derived from the project, continued drilling efforts, actual and anticipated market conditions, the actual size of and success of the Coal Creek development program, the ability of Petrol to add to its proven reserves, any implied or perceived benefits from Petrol's CBM assets, and any other effects resulting from any of the above are forward-looking statements. Such statements involve risks and uncertainties, including, but not limited to, the continued production of gas at historical rates, availability of sufficient additional funding to complete the Coal Creek Project, costs of operations, delays, and any other difficulties related to producing minerals such as oil or gas, Petrol's continued maintenance of its properties, price of oil or gas, marketing and sales of produced minerals, risks and effects of legal and administrative proceedings and governmental regulation, future financial and operational results, competition, general economic conditions, and the ability to manage and continue growth.
Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those indicated. Important factors that could cause actual results to differ materially from the forward-looking statements Petrol makes in this news release include market conditions and those set forth in reports or documents Petrol files from time to time with the United States Securities and Exchange Commission. Petrol undertakes no obligation to revise or update such statements to reflect current events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Contact:
Petrol Oil and Gas, Inc.
Adam Yarbrough/Michelle Stanford, 816-471-2900
or
www.petroloilandgas.com
