Lucas Energy Acquires Three Additional Oil Wells in Texas, Continues to Expand Oilfield Portfolio
HOUSTON, Sept. 18, 2007 (PRIME NEWSWIRE) -- Lucas Energy, Inc. (OTCBB:LUCE), a U.S. based independent oil and gas company, today announced the acquisition of three additional oil wells in Texas, two of which are current producers. The Company continues to aggressively put new capital to work by expanding its oilfield portfolio, and using new technology and management expertise to increase production at nominal costs. The result of previous acquisitions has constituted 9 consecutive quarters of profitability.
Lucas Energy has acquired 3 wells in Gonzales County, Texas from two independent oil and gas operators. The wells are the Hindman No.1, the Hindman No.2, and the Gandre No.1.
-- The Hindman No.1 well is a producing well completed in the Austin Chalk formation in 1977. The well has the potential for drilling a horizontal on the lease. -- The Hindman No.2 well is a producing vertical well completed in the Austin Chalk formation in 1977. -- The Gandre No.1 well is a shut in well completed in 1988. Cumulative production of the well is over 76,000 bbls of oil.
The acquisition of these three wells continues Lucas Energy's expanding oil and gas production in the Austin Chalk trend. The company intends to rework these wells to increase production and reserves. Lucas Energy, Inc. will continue to increase its inventory of wells suitable for workovers and new laterals.
"We are deploying capital rapidly in an aggressive move to bolster our production and reserves," said James Cerna Jr., CEO of Lucas Energy Inc.
Lucas Energy paid $300,000 for the Hindman wells and $50,000 for the wellbore equipment on the Gandre well.
About Lucas Energy, Inc.
Lucas Energy, Inc. (OTCBB:LUCE) (www.lucasenergy.com) is an independent crude oil and gas company building a diversified portfolio of valuable oil and gas assets in the United States. The company is focused on identifying underperforming oil and gas assets, which are revitalized through a meticulous process of evaluation, application of modern well technology, and stringent management controls. This process allows the company to increase its reserve base and cash flow while significantly reducing the risk of traditional exploration projects. The Company's headquarters are located at 3000 Richmond Avenue, Suite 400, Houston, Texas 77098.
The Lucas Energy logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=4192
This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement identified by the words "expects," "projects," "plans," "feels," "anticipates" and certain of the other foregoing statements may be deemed "forward-looking statements." Although Lucas Energy believes that the expectations reflected in such forward-looking statements are reasonable, these statements involve risks and uncertainties that may cause actual future activities and results to be materially different from those suggested or described in this press release. These include risks inherent in the drilling of oil and natural gas wells, including risks of fire, explosion, blowout, pipe failure, casing collapse, unusual or unexpected formation pressures, environmental hazards, and other operating and production risks inherent in oil and natural gas drilling and production activities, which may temporarily or permanently reduce production or cause initial production or test results to not be indicative of future well performance or delay the timing of sales or completion of drilling operations; risks with respect to oil and natural gas prices, a material decline in which could cause the Company to delay or suspend planned drilling operations or reduce production levels; and risks relating to the availability of capital to fund drilling operations that can be adversely affected by adverse drilling results, production declines and declines in oil and gas prices and other risk factors.
CONTACT: Lucas Energy, Inc. Investor Relations: Richard Angle (713) 528-1881
Released September 18, 2007