US Oil and Gas
(“US Oil” or “the Company”)
U.S. Oil & Gas (PLUS: USOP), the oil and gas exploration company with its main asset in Nevada, USA, is pleased to announce that it has commissioned further seismic work over its entire license block.
The planned survey will use a more advanced 3D Infrasonic Passive Differential Spectroscopy (IPDS) than has been available to date and will allow 3-dimensional modeling of the target area. The survey is expected to begin in approximately two weeks and results are expected shortly thereafter.
A preliminary estimate of probable oil in place (“OOIP”) of 187 million barrels was made for Eblana Phase 1 based on a report from Akrawi et al., which was announced on 30 March 2011. The new survey will allow a final pre-drilling estimate of OOIP to be made and is expected to significantly reduce risk and minimize uncertainties for the geological and reservoir parameters of the selected drilling target.
The Company is currently in advanced discussions with providers regarding contracting a drilling rig and, following geological analysis of the new data and the completion of the relevant administrative procedures, intends to finalise drilling preparations in due course.
US Oil CEO Brian McDonnell said, “The initial survey covered just 5% of the license block, but the new survey is expected to generate a new OOIP estimate based on the whole of the license area. We will also be exploiting the latest technology to reduce risk and maximize our chance of success.”
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THE DIRECTORS OF THE COMPANY ACCEPT RESPONSIBILITY FOR THE CONTENTS OF THIS ANNOUNCEMENT
For further information contact:
U.S. Oil and Gas plc
Brian McDonnell, Chief Executive Officer +353 (0) 872383419
SVS Securities plc – PLUS Corporate Adviser
Peter Ward / Alexander Brearley +44 (0)20 7638 5600
SVS Securities plc – Broker
Ian Callaway / Alex Mattey +44 (0)20 7638 5600
Notes to Editors
USOil and Gas plc is a PLUS-listed (Ticker: USOP) oil and gas exploration company with a strategy to identify and acquire oil and gas assets in the early phase of the upstream life-cycle and mature them into marketable opportunities for medium- and large-sized oil companies. The Company’s main asset is in Nye County, Nevada where it holds the entire share capital of the US-based company Major Oil International LLC. Major Oil has acquired, and intends to acquire, rights to exploration and development acreage in two high potential resource areas in Hot Creek Valley, Nye County, adjacent to the oil and gas rich Railroad Valley area of Nevada, both of which are part of the Sevier Thrust of central Nevada and western Utah, USA.
For further information please refer to our website at: www.usoil.us
U.S. OIL AND GAS PLC
(END) Dow Jones Newswires
May 25, 2011 04:00 ET (08:00 GMT)