Stocks & Investing
Stocks and Investing
Stocks and Investing 
Mon, July 18, 2011
Sun, July 17, 2011
Sat, July 16, 2011
Fri, July 15, 2011
Enhanced Oil Resources Inc. Announces Texas Oilfield Acquisition
HOUSTON, July 15, 2011 /CNW/ - Enhanced Oil Resources Inc. (TSXV: EOR) today announces that the Company has completed the acquisition of approximately 2,200 acres of productive land located in Runnels, Taylor and Jones counties, Texas for a total purchase price at closing of $958,000 using proceeds from its existing bank credit facility with Regions Bank. The closing date for the purchase was July 8, 2011. The acquisition is expected to be accretive to cash flow in the third quarter and will initially increase the Company's daily production by approximately 30 barrels of oil.
A review of the 34 wells associated with this acquisition has revealed additional productive capabilities from existing completions and from several behind pipe zones. The Company is reviewing these potentially productive opportunities and plans to commence a work over program in the next few weeks to increase production in the near term.
Excluding the acquisition discussed above the Company's crude oil production has averaged approximately 440 barrels of oil equivalent per day (boepd 95% oil) for the first half of July following an average of 425 boepd for June. At Crossroads, July production has averaged approximately 323 boepd, an increase of approximately 36 boepd over June production.
The Company also announced that it has initiated a plugging program of 13 non-essential wellbores at the Milnesand oilfield. Upon notice and approval of the completion of these operations to the New Mexico Oil Conservation Commission we expect that we can then commence our drilling program in the Milnesand field. Engineering design for the initial infill lateral wells from existing wellbores at Milnesand has been completed and we are currently receiving vendor bids for drilling operations to commence this program as soon as approvals are received and services can be provided. At Crossroads, we will continue the process of reworking several existing wells from the Devonian and other reservoirs to continue to increase production in the field.
The Company continues to work on its intended plan for increasing oil production, advancing the St. Johns project and increasing market exposure. During the second quarter of 2011 we have attended the Executive Oil Conference in Midland, Texas, presented at the IPAA OGIS conference in New York and the Next Generation Oil Conference in New Orleans. The Company will also be presenting at the Global Hunter Energy Conference in San Francisco July 18th and 19th, at the New York Energy Conference in the first week of August and will be exhibiting at the Summer Nape Conference in Houston during the third week of August.
Forward-Looking Statement
Certain statements contained herein are forward-looking statements, including statements relating to Enhanced Oil Resources' operations; business prospects, expansion plans and strategies. Forward-looking information typically contains statements with words such as "intends," "anticipate," "estimate," "expect," "potential," "could," "plan" or similar words suggesting future outcomes. Readers are cautioned not to place undue reliance on forward-looking information because it is possible that expectations, predictions, forecasts, projections and other forms of forward-looking information will not be achieved by Enhanced Oil Resources. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties. A change in any one of these factors could cause actual events or results to differ materially from those projected in the forward-looking information. Although Enhanced Oil Resources believes that the expectations reflected in such forward-looking statements are reasonable, Enhanced Oil Resources can give no assurance that such expectations will prove to be correct. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by Enhanced Oil Resources and described in the forward-looking statements or information. The forward-looking statements are based on a number of assumptions which may prove to be incorrect. Readers should be aware that the list of factors, risks and uncertainties set forth above are not exhaustive. Readers should refer to Enhanced Oil Resources' current filings, which are available at [ www.sedar.com ], for a detailed discussion of these factors, risks and uncertainties. The forward-looking statements or information contained in this news release are made as of the date hereof and Enhanced Oil Resources undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable laws or regulatory policies.
ON BEHALF OF THE BOARD OF DIRECTORS
"signed"
Barry D Lasker, CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.