Company Press Release
Tuesday December 2, 7:45 am Eastern Time
SOURCE: Environmental Remediation Holding Corporation
ERHC Reports Production and Sale of Oil From Two Recently Acquired Properties
WICHITA FALLS, Texas, Dec. 2 /PRNewswire/ -- Environmental Remediation Holding Corporation (OTC Bulletin Board: ERHC - news) announced production in the Electra Field in Wichita Falls, Texas. ERHC has completed 14 wells in the Electra Field and is currently selling oil on contract to Texaco, Inc. The wells are producing a ''Texas Sweet'' crude quality oil with a 38 degrees gravity oil from the Gunsite formation.
Six more wells in the Electra Field will be placed in production immediately upon the completion of flow line construction and the installation of additional tank batteries. ERHC anticipates that this construction work will be completed and production will begin on these wells in December.
The Electra Field acquired by ERHC has an estimated 1,000,000 barrels of recoverable oil in the Gunsite formation. Management believes that production and recoverable reserves can both be enhanced by water flooding and selective utilization of BAPCO lateral drilling tools. The Company intends to initiate those programs, subject to receipt of additional funding which the Company will seek in 1998.
Roosevelt, Utah
ERHC now has 5 wells on continuous production and 10 on intermittent production awaiting additional production equipment in the Brundage Canyon Field and Bluebell/Altemont Fields. All 15 wells are part of Uinta Oil & Gas, Inc. acquisition, previously made by the Company, and are producing a 36 degree gravity oil from the Wasatch and Green River formations. Crystal Production Company is the purchaser of oil from those wells.
ERHC is encouraged by the reserve studies provided by Uinta Oil & Gas, which indicate that the 13,000 acres acquired by ERHC has recoverable reserves totaling more than 52 million barrels of oil (MMBO) and more than 1.6 million barrels of oil equivalent (BOE) of natural gas.
Additionally, ERHC is closely watching a nearby waterflood being conducted on two sections on the east boundary of ERHC's Brundage Canyon field. The project being performed by Petroglith Oil Company includes 32 new wells drilled on a two section area to effect a 5-spot waterflood program, which should greatly improve recoverable reserves for the Brundage Canyon Field. If the anticipated results are achieved in that waterflood, ERHC plans to effect its own waterflood on its adjacent acreage.
Environmental Remediation Holding Corporation is engaged in oil and gas production activities and environmental remediation, both domestically and internationally. Through a series of acquisitions, the Company is building a business dedicated to providing oil and gas related services to major oil companies and government abandonment services (P&A), environmental engineering and consultation, hazardous waste management (including NORM waste), non-hazardous waste clean-up, transportation and disposal, and the manufacture and distribution of waste clean-up materials. The Company's stock is traded on the OTC Bulletin Board under the symbol ''ERHC'' and is listed in Standard & Poor's Corporate Records.
This release may contain forward-looking statements regarding ERHC's future plans and expected performance based upon assumptions ERHC believes to be reasonable. A number of risks and uncertainties could cause actual results to differ materially from these statements, including without limitation, fluctuations in the price of crude oil and natural gas, the success rate of exploration efforts, the timeliness of development activities in Texas, Utah, and the Gulf of Guinea, West Africa; changes in the political and economic environment in which ERHC has international operations as well as other risk factors described from time to time in the Company's documents and reports filed with the Securities and Exchange Commission.
SOURCE: Environmental Remediation Holding Corporation |
