Rocky Mountain Energy Corp (fka RMEC)

[nightstocker]

Rocky Mountain Energy Corporation Continues Its Aggressive Acquisition Strategy With $8 Million Purchase of Producing Colorado Oil and Gas Property
Company Adds an Additional 8.3 Billion Cubic Feet of Gas and 450,000 barrels of Oil Reserves to Its Production

THURSDAY , JANUARY 30, 2003 09:30 AM

HOUSTON, Jan 30, 2003 (BUSINESS WIRE) -- Rocky Mountain Energy Corporation (OTCBB:RMEC), an emerging developer of proved oil and gas reserves in the resource-rich Rocky Mountain region, announced today it has executed an agreement to purchase a producing property located in central Colorado. The field is currently producing $150,000 per month. Net reserves purchased are 8.3 billion cubic feet and 455,426 barrels of oil proved reserves.

Production is anticipated to be raised to $425,000 per month by performance of behind pipe mechanical operations.

The price paid is $8 million with an effective date of Jan. 1, 2003 (RMEC is credited with production proceeds from Jan. 1, 2003) or $4.35 per barrel equivalent acquisition price. Oil prices are currently over $30 per barrel. Closing is set for March 31, 2003.

"The acquisition of this property is in keeping with our primary business plan objective of incorporating properties with existing cash flow with our portfolio of proved undeveloped reserves awaiting development," said John N. Ehrman, president and CEO. "This acquisition is the first in a series of three such acquisitions, which if successful will bring our current cash flow to some $1.8 million to $2 million per month. We hope to be signing the remainder soon."

The acquisition will be funded by the company's $100 million acquisition credit facility with Residential Resources. In the event such financing would not materialize for any reason, the company would have to seek alternative financing or abandon the acquisition.

About Rocky Mountain Energy Corporation:

Rocky Mountain Energy Corporation, based in Houston, is an emerging developer of proven oil and natural gas reserves with assets in the resource-rich area of the Rocky Mountains. Rocky Mountain Energy's diversified production mix allows us the opportunity of high cash flow with predictable production.

Rocky Mountain Energy's strategy includes a property mix of producing and non-producing assets. The producing properties provide immediate net income and cash flow while non-producing assets will provide Rocky Mountain Energy with future development opportunities and, ultimately, reserves at a reduced cost.

With a management team that has over 100+ years in the oil and gas industry, Rocky Mountain Energy knows how to increase production, expand profit margins and maximize field potential. Its team of highly qualified technical professionals can examine old wells and find indications of producing zones that have never been produced, as well as develop the known proved undeveloped reserves which are the basis of any acquisition.

For further information, contact John N. Ehrman 281/448-6500 or visit our Web site at (www.rockymountain.cc).

Statements regarding financial matters in this press release other than historical facts are "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The company intends that such statements about the Company's future expectations, including future revenues and earnings, and all other forward-looking statements be subject to the safe harbors created thereby. Since these statements (future operational results and sales) involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results.



CONTACT: Rocky Mountain Energy, Houston
John N. Ehrman, 281/448-6500
www.rockymountain.cc

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