PBLS News Out This Morning...
November 10, 2005 07:30 AM US Central Timezone
Phoenix Associates Land Syndicate's Oil and Gas Division Increases Estimated Wyoming Oil Reserves by 162% with Acquisition of New Oil Lease
COVINGTON, La.--(BUSINESS WIRE)--Nov. 10, 2005--Phoenix Associates Land Syndicate (Pink Sheets:PBLS) announced today that the company's Mid-South/Rome Oil & Gas Division has secured a new oil lease in Wyoming consisting of over 2080 acres. Recent geologic surveys suggest that the estimated reserves of this lease will increase the company's existing oil reserves in the state by over 162%, from 5 million barrels to approximately 13.1 million barrels.
Rome Oil & Gas President, John Barksdale, has engaged P & M Petroleum Management of Denver, Colorado to assist him with the onsite management of the property during the drilling of the initial test well, which should be completed shortly.
Paul Alonzo, CEO of Phoenix, stated, "The acquisition of this new lease significantly increases our potential production capacity in the area and marks a continuation of our strategy to acquire lease assets with low-risk and high production profiles." He continued, "We continue to evaluate some very exciting lease opportunities on a daily basis, in keeping with the company's growth-at-a-reasonable-price philosophy, in order to further deepen our footprint in domestic fossil fuel production."
The Company also updated that it is in the process of drilling six new wells on its existing Kentucky lease hold. Rome Oil & Gas currently has 18 producing wells in Kentucky averaging 26 barrels per day each, or approximately 14,000 barrels per month in total. With the company's 30-day sales average of $54.50 per barrel, management expects continued impressive revenue and earnings growth as the new wells are on line.
