Petrol
Oil and Gas Provides Drilling Update on Coal Creek Project
LAS
VEGAS--(BUSINESS WIRE)--Dec. 20, 2004--Petrol Oil and Gas Inc. (OTCBB:
POIG - News) announced today that it now has 17 coal bed methane (CBM)
wells and one water disposal well on its Coal Creek Project in Coffey
County Kansas. "We have had two drilling rigs drilling almost
continuously for the last forty-five days," stated Paul Branagan,
Petrol's CEO. The drilling program targets multiple Cherokee group coal
seams that blanket southeastern Kansas and Southwestern Missouri and
Petrol's more than 165,000 leased acres could support up to 1,700
producing gas wells. The Coal Creek project wells are in various stages
of completion and Petrol expects to provide initial flow rates from one
or more of these wells in the very near term.
"We are extremely encouraged by the initial results of our Coal
Creek drilling activities," said Petrol's CEO, Paul Branagan.
"Our net coal thickness per well is approximately 50% greater than
we had originally forecasted and we are encountering more conventional
gas zones than we had expected." The shallow depths associated with
the multiple coal seams should allow Petrol to proceed quickly, as it
results in low drilling and production costs, and ease of access for
drilling rigs and associated production equipment.
According to the Kansas Geological Society, Coal Bed Methane production
in Kansas has been growing rapidly, to over 7 billion cubic feet in 2003.
This represents a 75% increase from the 2002 production of about 4
billion cubic feet. (More info: www.kansasenergy.org/sercc.htm).
Forward-Looking
Statement: The statements in this press release regarding any implied or
perceived benefits from the Coal Creek Project, plans to drill additional
CBM gas wells, anticipated revenues, the actual number of supportable
wells, the acquisition of additional oil or gas leases, maintaining
mineral lease rights, and any other effects resulting from any of the
above are forward-looking statements. Such statements involve risks and
uncertainties, including, but not limited to, the continued production of
gas at historical rates, costs of operations, delays, and any other
difficulties related to producing minerals such as oil or gas, continued
maintenance of the oil field and properties, price of oil or gas,
marketing and sales of produced minerals, risks and effects of legal and
administrative proceedings and governmental regulation, future financial
and operational results, competition, general economic conditions, and
the ability to manage and continue growth.
Should one or more of these risks or uncertainties materialize, or should
underlying assumptions prove incorrect, actual outcomes may vary
materially from those indicated. Important factors that could cause
actual results to differ materially from the forward-looking statements
we make in this news release include market conditions and those set
forth in reports or documents we file from time to time with the SEC. We
undertake no obligation to revise or update such statements to reflect
current events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events.
Source:
Petrol Oil and Gas Inc.
Petrol Oil
and Gas, Inc. is a featured company on
www.NaturalGasStocks.com
Contact:
Investor Information:
Petrol Oil and Gas Inc.
702-454-7318
www.petroloilandgas.com
or
CEOcast,
Inc. for Petrol Oil and Gas
Ed
Lewis, 212-732-4300 x 225