hmm>? sounds like someone has a new OTCBB play using some gas wells in Ozona TX, on 9000 acres in Crockett county - SOUND FAMILIAR???
Northern Explorations Acquires First Production Gas Well at Ozona Project, West Texas
Northern Explorations Acquires First Production Gas Well at Ozona Project, West Texas
SCOTTSDALE, AZ -- (Marketwire) -- 06/03/09 -- Northern Explorations Ltd. (OTCBB: NXPN) ("Northern," "Norex" or the "Company") is pleased to announce that the Company has acquired its first gas well at the Ozona gas project, Crockett County, Texas as part of its acquisition agreement with Dominus Energy AG.
The gas well is included as part of the package acquired at the Ozona Project by the Company and provides Norex with a current producing asset with daily gas production sales. Northern Explorations d.b.a. Norex Energy is therefore in production at Ozona.
The natural gas well was drilled, cased, completed and stimulated in the Wolfcamp Canyon Sandstone Formation. Upon tie-in to the pipeline infrastructure, the well has been producing gas since May of 2009 at daily rates of 200 MCF per day.
Estimates of gas reserves associated with this well are approximately 0.5 BCF. The gas is sold under a purchase agreement with Eagle Rock Energy and is currently priced at a bid-week production price of $4.04 per MCF.
This initial well is the first of 20 wells that will be drilled and completed on the leased acreage. Further details will be announced to stakeholders regarding the timing of the on-going development plan at the Ozona Project.
Norex President Mark Schaftlein states, "The inclusion of the production well in the purchase package acquired by Norex is a huge boost as it immediately transforms us into a cash flow positive position. We have effectively sidestepped the time line that normally occurs during the development of a first well of a program. Having acquired immediate gas production is a large step forward for the Company."
About the Ozona Gas Project:
The project encompasses approximately 9,000 acres and is a well documented and prolific location enjoying the presence of actively established companies such as Chesapeake, Devon, EOG, XTO, and Quicksilver Exploration. Norex is currently producing gas at Ozona. Norex has acquired a 63% Working Interest in the project located near Ozona in Crockett County, Texas. Under the terms of the underlying agreement with the vendors, Norex will receive a 47.5% Net Revenue Interest in all natural gas production from the project.
ABOUT NOREX ENERGY (NORTHERN EXPLORATIONS LTD.) (OTCBB: NXPN)
Norex Energy (Northern Explorations Ltd.) is an energy exploration Company currently developing natural gas projects across North America. The Company has acquired working interests in natural gas assets located in Texas as well as projects in California and Alberta, Canada. The projects contain documented gas reserves and associated plant, pipeline and infrastructure currently in place.
Notice Regarding Forward-Looking Statements
