SAN FRANCISCO, September 5 /CNW/ - Sun Cal Energy Inc. (OTC BB:SCEY), an
energy exploration company focused in the Southern San Joaquin Valley of
California, the Anadarko Basin of Oklahoma, and the Breton Sound area in
offshore Louisiana is pleased to announce the company has completed the
acquisition of 6,000 acres of high impact gas properties in the Jonah Field
area of Wyoming.
Sun Cal Energy Inc. has agreed to acquire a 100% working interest in
6,000 acres of leases in the Jonah Field region of Wyoming - the second
largest proven gas reserve in the United States. This is the fourth core
exploration and development region for Sun Cal Energy. Sun Cal's Prospects are
identified as South Jonah, which consists of 2,477.68 acres and West Jonah,
consisting of 3,546.89 acres. Most of the surrounding acreage is currently
held by EnCana and Yates Petroleum, with BP and Chevron/Texaco also holding
significant positions. In a recent auction of 1,280 acres approximately 5
miles to the Northeast, leases yielded $3,300/ acre.
With current well spacing regulations, Sun Cal can drill up to 37 wells
on this acreage. With technology developed in the Jonah and Pinedale fields,
current completion techniques estimate gas in place between 1.0 and 3.0 BCF
per well. As such, South Jonah and West Jonah could provide between 37 BCF and
111 BCF of recoverable Reserves at a value of $222 million to $667 million.
When the area is down spaced to allow wells on 20 acre spacing, 300 wells
could be drilled resulting in nearly ten times the reserves and revenue.
About the Jonah Prospect
The Jonah Field and the Pinedale Anticline are acknowledged as the
premier gas fields in the Rocky Mountains. These fields are located in
Wyoming's Greater Green River Basin. According to the Wyoming State Geological
Survey, the Greater Green River Basin contains approximately 26 TCF of natural
gas which is the largest reserve in the State. The Jonah Field is estimated to
contain 7 to 10 TCF of Natural Gas, which currently produces from more than
500 wells. Currently, EnCana, British Petroleum, Ultra Petroleum and Yates
Petroleum are among the major players working in this area.
Commenting on these developments, Lewis Dillman, President and Chief
Executive Officer of Sun Cal Energy Inc. states: "We are very pleased to
complete the acquisition of these leases, and to add an asset of this class to
our expanding portfolio of high impact oil and gas properties. The Jonah Field
is a world class natural gas development area, with plans to allow the
development of more than 3,000 new wells. We look forward to the opportunity
of further developing this asset and participating in the future success of
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 and the Green River
Basin of Wyoming. 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. Investor Relations Lewis
Dillman, 1-800-798-8334 email@example.com http://www.suncaloil.com