Company Press Release Tuesday October 21 1:17 PM EDT
ERHC's BAPCO Acquires Interest In Olmos Nueces River Prospect
BROUSSARD, La., Oct. 21 /PRNewswire/ -- Environmental Remediation Holding Corp. (Nasdaq:ERHC - news) announced today that its wholly owned subsidiary, Bass American Petroleum Corporation
(BAPCO), has acquired an undivided 37.5% interest in the Olmos Nueces River Prospect, one of Texas' largest natural gas projects.
The Olmos Nueces River Prospect includes the Sandifer and Phillips oil and gas wells and other leases covering 49,019 acres of McMullen and La Salle Counties. The 307 ft. thick Olmos Sands
geological formation occurs at depths of 11,000 ft. to 12,000 ft., and contains an estimated 101 to 110 BCF (billion cubic feet) of natural gas per 640 acre section.
An independent evaluation by David K. Davis, a reservoir engineer of Houston, Texas, states that an Olmos Sand field normally yields minimum production rates of 5,000 MCF per day, plus 50 to 100
bbls per day of condensate. Completed wells have commercial access to a 20'' diameter transcontinental gas pipeline located 3.1 miles due west of the leases.
ERHC/BAPCO acquired this interest from Don A. Hillin Oil & Gas Properties in exchange for cash and an undisclosed amount of ERHC common stock, restricted under SEC Rule 144. Hillin will continue to
receive a 2 1/2% of 8/8 overriding royalty interest under the lease, and on any additional oil and gas leases sold to ERHC/BAPCO.
BAPCO and Hillin have also agreed to enter into a formal exploration agreement that includes a 3-D seismic shoot of the property covering 15,000 acres. Meanwhile, BAPCO will use 400 miles of
existing seismic data, covering 73,000 mineral acres, in its design of the Olmos Sands drilling program. BAPCO plans to reenter the existing wells and eventually use its proprietary BAPCO Tool(TM).
ERHC President Samuel L. Bass commented, ''We are very pleased to acquire this interest in one of the largest natural gas fields in the nation and look forward to a profitable association with
Hillin.''
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To All,
I suspect that there are going to be a lot of upset people when they discover how much undisclosed ERHC common stock there is out there. The amount is not made public for a reason & this reason, I believe, will adversely affect the stock price. Does anyone know of a way to find out how much the stock has been diluted before everyone else does?
WFS |
