CALGARY, June 23 /CNW/ - Diaz Resources Ltd. (TSX:DZR) today reported
that the Ruebush No. 1 well located in Lavaca County, Texas, has been
successfully completed in a Wilcox gas zone. The well was put on production on
June 18, 2008, and is currently producing 15.95 MMcfd of natural gas at
7,100 psi flowing pressure from approximately 40 feet of net pay. The Wilcox
gas zone has not been fracture stimulated and the well will be evaluated for a
period of time to determine if a fracture stimulation is required.
Diaz has a 1.4% working interest before payout and 10.0% working interest
after payout in the Ruebush No. 1 well. It is estimated that at current
production rates and natural gas prices payout will be reached within 60 days.
Under the terms of the farm-out agreement Diaz's working interest in a
second well, if drilled, would also be 2.4% before payout and 10.0% after
payout. The Company's working interest in a third well, if drilled, would be
Based on the Company's interpretation of the seismic and geology there
are two more development locations which could be drilled on this structure.
Diaz is an oil and gas exploration and production company based in
Calgary, Alberta. Diaz's current focus is on shallow gas developments in
southern Alberta, natural gas exploration in central and southern Alberta and
deep gas exploration in Texas.
ADVISORY: Certain information regarding the Company in this News Release
including management's assessment of future plans and operations, the use of
proceeds from the offering and the anticipated closing date of the offering,
may constitute forward-looking statements under applicable securities laws and
necessarily involve risks including, without limitation, risks associated with
oil and gas exploration, development, exploitation, production, marketing and
transportation, loss of markets, volatility of commodity prices, currency
fluctuations, imprecision of reserve estimates, environmental risks,
competition from other producers, inability to retain drilling rigs and other
services, capital expenditure costs, including drilling, completion and
facilities costs, unexpected decline rates in wells, wells not performing as
expected, incorrect assessment of the value of acquisitions, failure to
realize the anticipated benefits of acquisitions, delays resulting from or
inability to obtain required regulatory approvals and ability to access
sufficient capital from internal and external sources. As a consequence,
actual results may differ materially from those anticipated in the
forward-looking statements. Readers are cautioned that the foregoing list of
factors is not exhausted. Additional information on these and other factors
that could effect the Company's operations and financial results are included
in reports on file with Canadian securities regulatory authorities and may be
accessed through the SEDAR website (www.sedar.com) and at the Company's
website (www.diazresources.com). Furthermore, the forward-looking statements
contained in this news release are made as at the date of this news release
and the Company does not undertake any obligation to update publicly or to
revise any of the included forward-looking statements, whether as a result of
new information, future events or otherwise, except as may be required by
applicable securities laws.
THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information:
For further information: Robert W. Lamond, Chairman - or - Donald K.
Clark, Chief Operating Officer, DIAZ RESOURCES LTD., Telephone: (403)
269-9889, Fax: (403) 269-9890, Website: www.diazresources.com, Email: