CALGARY, Sept. 7, 2011 /CNW/ - Base Oil & Gas Ltd. (TSXV: BOG) ("Base"
or the "Company") is pleased to announce that it has completed its
previously announced acquisition of oil and gas assets in East central
Alberta for total consideration of $7.8 million in cash (subject to
customary closing adjustments) with an effective date of July 1, 2011.
With this acquisition, production from the oil-weighted assets is
expected to average more than 150 boe/d in the fourth quarter of 2011
and the Company's undeveloped land position in the area grows to
approximately 30,000 net acres. Current production is approximately
About Base Oil & Gas Ltd.
Base is a Calgary-based emerging junior oil and gas company currently
focused on high netback oil production in southern and east central
Boes may be misleading, particularly if used in isolation. A boe
conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency
conversion method primarily applicable at the burner tip and does not
represent a value equivalency at the wellhead.
Certain information included in this press release constitutes
forward-looking information under applicable securities legislation.
Such forward-looking information is provided for the purpose of
providing information about management's current expectations and plans
relating to the future. Readers are cautioned that reliance on such
information may not be appropriate for other purposes, such as making
investment decisions. Forward-looking information typically contains
statements with words such as "anticipate", "believe", "expect",
"plan", "intend", "estimate", "propose", "project" or similar words
suggesting future outcomes or statements regarding an outlook.
Forward-looking information in this press release may include, but is
not limited to, information with respect to: expected timing to bring
on and the quantity of new production; receipt of all necessary
approvals for the Assets acquisition and the private placement
financing; operational decisions and the timing thereof; development
and exploration plans, the likelihood of success and the timing
thereof; the sufficiency of and access to pipeline infrastructure; and
future royalty treatment of any future production. Forward-looking
information is based on a number of factors and assumptions which have
been used to develop such information but which may prove to be
incorrect. Although the Company believes that the expectations
reflected in such forward-looking information is reasonable, undue
reliance should not be placed on forward-looking information because
the Company can give no assurance that such expectations will prove to
be correct. In addition to other factors and assumptions which may be
identified in this press release, assumptions have been made regarding
and are implicit in, among other things: field production rates and
decline rates; the ability of the Company to secure adequate product
transportation; the impact of increasing competition in or near the
Company's plays; the timely receipt of any required regulatory
approvals; the ability of the Company to obtain qualified staff,
equipment and services in a timely and cost efficient manner to develop
its business; the Company's ability to operate the properties in a
safe, efficient and effective manner; the ability of the Company to
obtain financing on acceptable terms; the ability to replace and expand
oil and natural gas reserves through acquisition, development and
exploration; the timing and costs of pipeline, storage and facility
construction and expansion; future oil and natural gas prices;
currency, exchange and interest rates; the regulatory framework
regarding royalties, taxes and environmental matters; and the ability
of the Company to successfully market its oil and natural gas products.
Readers are cautioned that the foregoing list is not exhaustive of all
factors and assumptions which have been used.
Statements relating to "reserves" are by their nature forward-looking
statements, as they involve the implied assessment, based on certain
estimates and assumptions that the reserves described can be profitably
produced in the future. The recovery and reserve estimates provided
herein are estimates only and there is no guarantee that the estimated
reserves will be recovered. As a consequence, actual results may differ
materially from those anticipated in the forward looking statements
Forward-looking information is 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 the Company and described in the forward-looking information. The
material risk factors affecting the Company and its business are
contained in the Company's annual information form for the year ended
December 31, 2010 dated July 29, 2011 and Management's Discussion and Analysis which are available under the
Company's issuer profile on SEDAR at www.sedar.com.
The forward-looking information contained in this press release is made
as of the date hereof and the Company undertakes no obligation to
update publicly or revise any forward-looking information, whether as a
result of new information, future events or otherwise, unless required
by applicable securities laws. The forward looking information
contained in this press release is expressly qualified by this
Neither the 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.
SOURCE Base Oil
For further information:
Base Oil & Gas Ltd.