Friendly Energy Corp. Oil and Gas Drilling Subsidiary Establishedadmin
Friendly Energy Corp. (Other OTC:FDEG.PK) announces today a correction of the press release of June 13th, 2006, previously announcing the company had received a drilling permit for the Asher No. 1 joint venture prospect was effective June 15th, 2006, which was reported incorrectly. The company’s joint venture partner and operator, D-Mil Production Inc., has received the operating permit effective immediately. The previous drilling permit reported to be effective June 15th was not issued as reported, due to a review by the Corporation Commission of Oklahoma. This was due to environmental concerns resulting in the fact that the Asher No. 1 well will be drilled with a “closed system,” which is utilized for the recapture and containment of the drilling mud and other fluids required for drilling.
The road construction and site preparation for the drill rig has been completed according to environmental requirements and concerns, enabling the issuance of the current drilling permit, effective June 29, 2006.
The Company now awaits the delivery and assembly of the drill rig to establish the “spudding date.”
“The company has overcome the normal course challenges usually encountered in the process of drilling a prospect. The Asher No. 1 Joint Venture has vigorously strived to observe and respect the state requirements for environmental preservation of sensitive natural lands, which requires, in certain circumstances, additional time and preparation for the development and permitting of prospective drill sites,” states company President Douglas Tallant. “We as a company are diligent in following state guidelines for drilling activity, and anticipate that the contract Drill rig will be delivered and assembled in the near term, as the drill pad is now completed and the final drill permit has been issued.”
The company has been working diligently with the independent auditors and is awaiting the final signed audits from the auditors imminently subject to the independent auditors completion.
Friendly Energy is committed to the exploration and development of its prospects to take advantage of the current market pricing in the price of oil and gas by developing undeveloped reserves with little downside risk.
The company reports that the road construction and site development for the Company’s joint venture of the Asher No. 1 Prospect is nearing completion. It is anticipated that all site preparation work will be completed in the next 10 days. The Asher No. 1 Prospect is located on the western edge of the giant St. Louis oil field in Pottawatomie County, Central Oklahoma.
The St. Louis field has produced over 300 million barrels of oil and 26 billion cubic feet of gas from reservoirs of the Earlsboro sand (Pennsylvanian), Hunton and Viola. Estimated reserves for the Asher prospect are indicated to be 350,000 barrels of oil.
Friendly Energy is a development stage company in the Oil and Gas Exploration Industry.
This news release contains information that is “forward-looking” in that it describes events and conditions, which Friendly Energy Inc. (“FDEG”) reasonably expects to occur in the future. Expectations for the future performance of the business of FDEG are dependent upon a number of factors, and there can be no assurance that FDEG will achieve the results as contemplated herein and there can be no assurance that FDEG will be able to conduct its operations or production from its properties will result from or continue as contemplated herein. Certain statements contained in this report using the terms “may,” “expects to,” and other terms denoting future possibilities, are forward-looking statements. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks, which are beyond the Company’s ability to predict, or control and which may cause actual results to differ materially from the projections or estimates contained herein. FDEG disclaims any obligation to update any forward-looking statement made herein.
Friendly Energy Douglas Tallant, President (702) 953-0411
Source: Friendly Energy Corporation