DALLAS, August 21 /CNW/ - Saxon Oil Company Limited (Saxon) (TSX
VENTURE:SXN) (Pink Sheets: SXNOF) (FRANKFURT:SXN) (BERLIN:SXN) is pleased to
announce the preliminary results of a successful multi-well workover program
in New Mexico. In July and early August, the Company participated in low-cost
workovers on eight wells located on leases in the Langley-Mattix Field in Lea
County, N.M. These workovers were scheduled to remedy mechanical and
operational problems and boost production. Prior to the workovers, production
from these leases averaged approximately 7 barrels of oil per day with no gas
sales. Subsequent to the workovers, the wells are producing approximately 20
barrels of oil per day with 30 Mcf per day gas. Saxon has a twenty percent
working interest in these leases, which are part of the AleAnna Energy LLC
acquisition closed in early June of 2007.
Richard G. Green, CEO and President of Saxon, said, "The workover results
validate our assumptions that these leases have considerable upside, with
significant reserves still to be produced. The workovers offered a cost
effective way to increase oil and gas production on these leases, and should
reduce our monthly operating expenses. We expect these wells to be good,
low-cost oil and gas producers for many years to come."
Saxon anticipates additional drilling and workover activity on these New
Mexico producing leases in the coming months. The Company previously announced
participation in the Eumont exploratory test in New Mexico on acreage also
acquired with the AleAnna acquisition.
About Saxon Oil Company Ltd:
Saxon Oil Company is a Tier One Texas-based Canadian company, trading on
the TSX Venture Exchange under the symbol SXN. The Company is an independent
oil and gas company engaged in the acquisition, development and production of
oil and natural gas reserves. The Company seeks to deliver strong shareholder
returns through an effective exploration and development program that
incorporates sound business practices with the latest oil field technologies.
The goal is to steadily increase proven reserves of oil and natural gas -
which, in turn, will lead to enhanced cash flows and earnings per share.
This press release includes certain "Forward-Looking Statements" within
the meaning of section 21E of the United States Securities Exchange Act of
1934, as amended. All statements, other than statements of historical fact,
included herein, including without limitation, statements regarding plans for
completion, production potential, other targeted areas and expansion and
development plans and objectives of Saxon Oil Company Ltd. are forward-looking
statements that involve various risks and uncertainties. There can be no
assurance that such statements will prove to be accurate and actual results
and future events could differ materially from those anticipated in such
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy and accuracy of this Release.
For further information:
For further information: Quayside Communications Patrice Nazareno,