Hemi Energy Group Inc. (fka HMGP)

[emilson]

Hemi Energy Announces Gas Field Drilling Developments in Woodson County, Kansas
Wednesday September 5, 9:52 am ET


FORT WORTH, Texas--(BUSINESS WIRE)--Hemi Energy Group, Inc. (Pink Sheets:HMGP - News) has spudded a new well now to start development of a valuable gas field which already had a total of five exploratory gas wells in existence but never produced. The June 12, 2007 press release about this field states that "when expertly produced will be our most valuable leases with reserves of all our Kansas lease holdings." The four wells drilled in the 1950s and 1960s had the same geological make up and same pay horizons and are within a 1/2 mile radius as the well that was completed in 2003 on which we have extensive records. Therefore, based upon the information from these wells completed in 1950s and 1960s and the well completed in 2003, it is management's opinion each of these wells have the capability of producing as much as a total of 14 million feet per day, (also know as "MCFD") from five pay zones cumulatively. It is only realistic to produce the most valuable pay zones, which range from 1.05, 2.78, 3.4 to 4.2 "MCFD" per pay zones per well. These lease holdings are approximately five miles north of our core leases in Woodson County which contain our mature reworked producing oil wells. Hemi has the detailed drillers' records on these five wells so that it is able to make very accurate production evaluations. We will be able to produce a prolific volume of gas from this field as it is developed and the reserves are proved up. Hemi expects many years of prolific gas production from this field in Kansas based on our expertise. We expect oil production from the pay zones on these leases to financially expedite the development of the gas wells.
Hemi is drilling an offset well to an old oil well on these leases that had good production from the Fort Scott limestone formation on the same block of leases as the above paragraph. We also have the records of this oil well drilled in 1981 and we believe we will have good production from this well and have several producible pay zones, some of which will be held behind pipe. This new well is being drilled to produce oil and also to gain very detailed updated new knowledge to facilitate the production of the gas wells on these leases.

Management is very much aware that it is behind schedule in producing the last two new wells and is diligently striving to correct the mechanical problems and the attendant delays in the completion process. We strongly believe we will finally be able to bring you completion information and production results about these wells next week.

Hemi Energy Group is an independent crude oil and natural gas producer employing a unique business model capitalizing on technological advances to exploit mature fields with millions of barrels of proven oil remaining in the ground. Using attractive lease/royalty packages, Hemi has secured, in its history, tens of thousands of acres of productive domestic projects. The company's forward-thinking strategy has placed it in an enviable position at a time when prices and global demand for oil continue to rise.

Building on decades of experience in enhanced oil recovery, Hemi has successfully amassed a substantial and attractive portfolio of these high-quality domestic properties. By streamlining operations through cutting-edge technologies, Hemi has the ability to operate more effectively and efficiently than larger oil companies.

For additional information, please go to http://hemienergy.com or http://www.stockinformationsystems.com/c/HMGP/index.html.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "forecasts," "potential," or "continue," or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The company has no obligation to update these forward-looking statements.



Contact:
Hemi Energy Group, Inc.
John Kelly, 817-566-0351

--------------------------------------------------------------------------------
Source: Hemi Energy Group, Inc.