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Microcap & Penny Stocks : Tri-Valley Corp. (OTC BB: TRIL) -- Ignore unavailable to you. Want to Upgrade?

To: George Dysert who wrote (4794)	9/11/2002 1:26:31 PM
From: Findit	Read Replies (1) \| Respond to of 4821

George why is the price not rising today? After the frac news I would have thought there would be a gap. Jim BAKERSFIELD, Calif., Sep 11, 2002 (BUSINESS WIRE) -- Setting a west coast record in the process, Tri-Valley Oil & Gas Co. (TVOG) injected nearly 1.3 million pounds of sand in a single stage into the McClure Shale around the horizontal leg of its Sunrise-Mayel No. 2H well near Delano, California. The big hydraulic fracture program was designed to liberate what the Company believes will be the first dry natural gas production from the dense but highly hydrocarbon-saturated formation over a mile deep. Schlumberger/Dowell was the contractor for the job. Early conventional wells were not able to stimulate flow at commercial rates from the McClure Shale, but pioneering work by Texaco and EOG Resources showed the way by drilling horizontally into the zone and then fracturing the surrounding formation to release the hydrocarbons at a high rate in their oil plays to the south of Tri-Valley's Sunrise Project. "We estimate that the aggregate investment spent by several companies is over $100 million in McClure Shale projects and California consumers will benefit from this costly, high risk process search," said Joseph R. Kandle, TVOG president. The Sunrise Natural Gas Project presently encompasses over 10 square miles of mapped closure controlled by TVOG and the Sunrise-Mayel No. 1 test well logged nearly 300 net feet of gas saturated McClure Shale in 2001 to set up the play. The need for horizontal/frac-ed well development raised the financial threshold significantly and the project was rolled into the TVOG Opus I Drilling Program L.P., a $100 million exploration drilling fund now being raised by Tri-Valley. Opus partners can earn 50% working interest in the Sunrise Project by drilling and completing two wells. Tri-Valley previously submitted No. 1 well data to three independent engineering firms, who gave the 160 surrounding acres a potential 72 billion cubic feet of gas in place. This was based on 37.5% porosity with 70% saturation and an average 3.5 ohms. Subsequent analysis of the No. 2H well data has increased the calculated porosity to 41.5% and the ohms have ranged as high as 10, which are very positive indicators for the potential recovery. "Although yet unproven, we speculate that the potential gas in place in the mapped area is in the range of three trillion cubic feet, which would be a bonanza for our investors and a boon to consumers who are increasingly dependent on imported natural gas and oil to support their abundant lifestyle. Tri-Valley's exploration program aims to reverse that import trend," said F. Lynn Blystone, president and chief executive officer of Tri-Valley Corporation, the publicly traded parent of TVOG. "Most of the easy, conventional hydrocarbons have been found. As companies pursue unconventional sources, horizontal drilling and formation fracturing will become commonplace. Tri-Valley is increasingly selecting the very large targets from unconventional sources that others have overlooked in order to have the chance for exceptional reward for its shareholders and drilling partners. We're in the forefront in this huge market potential," Blystone said. Hydraulic fracturing involves injecting special sand carried in a gelatinous fluid into a formation at pressure so great the rock begins to break. Once the fractures are open and sand is injected they cannot close back all the way, thus providing a myriad of avenues for gas to flow to the well bore for recovery. By fracturing the 3,100-foot horizontal leg of the No. 2H, over 6,000 times as much formation is exposed to the well bore as would be perforated in a 100-foot section in a conventional vertical well. This more costly process can enable an exponential increase in flow rates. In order to map the actual pattern of the fracturing, TVOG had Pinnacle Technologies establish a 28-station grid of sensors in four square miles around the horizontal leg of the No. 2H well. They are so sensitive they can measure a deflection equal to 1/4 inch between the Golden Gate Bridge in San Francisco and the Empire State Building in New York City. "This will enable us to fine tune the fracture program for future wells and optimize the production conditions. It's another example of a petroleum technology advance that assists us in pursuing unconventional targets," Kandle said. Tri-Valley Oil & Gas Co. and its parent, Tri-Valley Corporation, which is publicly traded under the symbol TRIL.OB, are both headquartered in Bakersfield, California. More information is available on the Company's website www.tri-valleycorp.com or by calling toll free at 1-800-579-9314. This press release contains forward-looking statements that involve risks and uncertainties. Actual results, events and performance could vary materially from those contemplated by these forward-looking statements which includes such words and phrases as exploratory, wildcat, prospect, speculates, unproved, prospective, very large, expect, potential, etc. Among the factors that could cause actual results, events and performance to differ materially are risks and uncertainties discussed in the company's quarterly report on Form 10-Q for the quarter ended June 30, 2002, and the annual report on Form 10-K for the year ended December 31, 2001. CONTACT: Tri-Valley Oil & Gas Co. 661/864-0500 800/579-9314 F. Lynn Blystone or Joseph R. Kandle URL: businesswire.com Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. Copyright (C) 2002 Business Wire. All rights reserved.