SAN FRANCISCO, September 25 /CNW/ - Sun Cal Energy Inc. ("Sun Cal")
(OTCBB:SCEY), an energy exploration company focused in the Southern San
Joaquin Valley of California, the Anadarko Basin of Oklahoma, the Breton Sound
area in offshore Louisiana and the Green River Basin of Wyoming is pleased to
announce that the Sturgeon 1-11 well is in production.
Currently, flow rates from the first pay zone are in excess of 3 mmcfd.
The second and third pay zones are expected to undergo fracing operations and
thus provide greater flow rates for the well. The target depth is the Springer
Morrow, which has proved to be very productive in Oklahoma and Texas, and has
gas-bearing shallower zones which may be commercial. Production on the
Sturgeon 1-11 follows on the recent activity in the Hobart prospect with the
spudding of the Cunningham 1-12 well, and the application by Range Resources
for a third well.
Production on this well follows the recent announcement that Sun Cal has
signed a Letter of Intent to acquire a 100% working interest in 8,695 acres of
leases in the Cherokee and Forest City Basins of Kansas. The Kansas leases
consist of 24.9 BCF of gas and over 2 million BBLS of oil in reserves, and are
producing 2,250 BBLS of oil per month. Together, along with the participation
in the Centurion Property, these two developments provide production and cash
flow to Sun Cal.
Sun Cal Energy Inc. owns a 1.5% gross overriding royalty interest in the
1,211 acre Hobart prospect strategically located in the Anadarko Basin and
part of the Springer Morrow play - the largest such play in the State and
Mid-Continent. Key players running rigs in the immediate area include Marathon
Oil, Chesapeake Energy, and Range Resources.
Commenting on these developments, Lewis Dillman, President and Chief
Executive Officer of Sun Cal Energy stated: "We are very excited to announce
successful flow rates on our initial well and thus enter into production. We
look forward to building on these results and to further develop our portfolio
of oil and gas assets, two of which are now in production. The successful
drilling of our Hobart lease validates our strategy to acquire low risk, high
potential assets and ultimately our goal to achieve production and cash flow."
Shareholders and prospective investors are encouraged to visit Sun Cal
Energy's website: www.suncaloil.com and download Sun Cal Energy's Investor
Summary. Please feel free to call investor relations toll-free at
1-800-798-8334 to receive a full corporate investor's package.
About Sun Cal Energy Inc.
Sun Cal Energy Inc. is a publicly traded independent oil and gas
exploration company with headquarters in Calgary, Alberta, and an operational
office in San Francisco, California. Sun Cal Energy aims to secure and develop
a portfolio of oil and gas properties throughout America. The company is
strategically placed in the Southern San Joaquin Valley of California, the
Anadarko Basin of Oklahoma, the Breton Sound of Louisiana, the Jonah Field of
Wyoming, and Cherokee and Forest City Basins of Kansas. Sun Cal Energy Inc.
trades under the ticker symbol: SCEY - "Sun Cal Energy Inc. - Providing Energy
Solutions to America".
On behalf of the Board
Lewis Dillman, President and CEO
Statements in this news release that are not historical facts are
forward-looking statements that are subject to risks and uncertainties. Words
such as "expects", "intends", "plans", "may", "could", "should",
"anticipates", "likely", "believes" and words of similar import also identify
forward-looking statements. Forward-looking statements are based on current
facts and analyses and other information that are based on forecasts of future
results, estimates of amounts not yet determined and assumptions of
management, including, but not limited to, the Company's belief that Sun Cal
Energy Inc. can identify and successfully negotiate leases for oil and gas
properties in California, Louisiana, Oklahoma, and Wyoming, and that the
Company can participate in the exploration of those properties. Actual results
may differ materially from those currently anticipated due to a number of
factors beyond the reasonable control of the Company. Additional information
on risks and other factors that may affect the business and financial results
of the Company can be found in filings of the Company with the U.S. Securities
and Exchange Commission.
For further information:
For further information: Sun Cal Energy Inc. Lewis Dillman,
1-800-798-8334 (Toll Free) Investor Relations firstname.lastname@example.org