Message #17 From:
NewsBot Date: October 4, 2006 08:32:00 AM
MVOG News Maverick Oil and Gas Provides Oil and Gas Reserve Update
DALLAS--(BUSINESS WIRE)--Maverick Oil and Gas, Inc. (OTCBB:MVOG) today announced its
fiscal year end reserves.
Miller and Lents, Ltd, international oil and gas consultants, have
prepared a reserve report for Maverick as of August 31, 2006. Proved
reserves, based on a SEC Price Case, using unescalated product prices
and costs were 7.961 Billion cubic feet of gas equivalent (Bcfe) with
undiscounted future net revenues of $28.96 million. Discounted at 10%,
the future net revenues were $12.64 million.
A report using SPE definitions for reserves showed proved and probable
reserves of 41.169 Bcfe with undiscounted future net revenues of $196.47
million, based on the 5-year strip price in effect at the time of the
report. Discounted at 10%, the future net revenues were estimated at
$59.12 million. Approximately 97 percent of the value and 99% of the
reserves are associated with the Barnett Shale properties. The probable
reserves were based on 73 locations with approximately 120 acre spacing
between the proposed horizontal wells on the Barnett acreage. As of
August 31, 2005, the proved reserves were 1.025 Bcfe and the proved and
probable were 28.85 Bcfe.
James A. Watt, Maverick’s Chairman and Chief
Executive Officer stated, “Maverick is in
active discussions with various debt and equity financing groups to
provide the additional funding necessary to continue our drilling
operations in the Barnett Shale play and further evaluate the three well
bores in the Fayetteville shale play of eastern Arkansas drilled earlier
in 2006. If and when these discussions are successfully concluded, we
will provide investors the details of the 2007 budget and plans for
future activity.”
About Maverick Oil and Gas
We are an early stage independent energy company engaged in oil and gas
exploration, exploitation, development and production. We currently
participate in these activities through the interests we hold in oil and
gas exploration and development projects in Arkansas, Texas and
Colorado. We will seek to acquire other exploration and production
properties and from time to time sell or trade interests in properties
in an effort to maximize value for our shareholders. For more
information about the Company, please visit our website at www.maverickoilandgas.com.
This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended,
regarding future results, levels of activity, events, trends or plans.
We have based these forward-looking statements on our current
expectations and projections about such future results, levels of
activity, events, trends or plans. These forward-looking statements are
not guarantees and are subject to known and unknown risks, uncertainties
and assumptions about us that may cause our actual results, levels of
activity, events, trends or plans to be materially different from any
future results, levels of activity, events, trends or plans expressed or
implied by such forward-looking statements. In some cases, you can
identify forward-looking statements by terminology such as guidance,
may, will, should, could, would, expect, plan, anticipate, believe,
estimate, continue or the negative of such terms or other such
expressions. In connection with our announced drilling programs,
important factors that could cause actual results to differ materially
from our expectations, include but are not limited to: (1) our ability
to secure an amount of proceeds sufficient to finance our anticipated
drilling and development costs, given our currently limited capital
resources; (2) our ability to sustain operations for a period of time
necessary to implement certain of our development plans, given our
currently limited resources: (3) whether drilling efforts can be
completed within the time and cost budgets estimated by the company in
view of the risks and uncertainties normally associated with drilling
projects; (4) whether ultimate production may be achieved, and if so, in
a manner consistent with either initial test results or our
expectations, given the uncertainties associated with drilling and
extraction of oil and gas reserves; (5) whether long term test results
will justify the drilling of additional wells; (6) when such additional
wells may be drilled; and (7) the ability to drill for and extract
commercial quantities of oil and gas. In regard to our reserves, the SEC
permits oil and gas companies, in their filings with the SEC, to
disclose only proved reserves. Our reserve report makes reference to
certain “probable”
reserves that the SEC’s guidelines strictly
prohibit us from including in filings with the SEC. The SEC defines
proved reserves as estimated quantities that geological and engineering
data demonstrate with reasonable certainty to be recoverable in the
future from known reservoirs under the assumed economic conditions.
Probable reserves are estimates of potential reserves that are made
using accepted geological and engineering analytical techniques, but
which are estimated with reduced levels of certainty than for proved
reserves. As they pertain to our business, in general, important factors
that could cause our actual results to differ materially from our
expectations, include but are not limited to those factors disclosed in
our annual report on Form 10-KSB, our other filings with the Securities
and Exchange Commission, as well as our other public documents and press
releases which can be found on our web site (www.maverickoilandgas.com).
Readers are cautioned not to place undue reliance on our forward-looking
statements, as they speak only as of the date made. Such statements are
not guarantees of future performance or events and we undertake no
obligation to disclose any revision to these forward-looking statements
to reflect events or circumstances occurring after the date hereof.
