HOUSTON, April 19, 2012 (GLOBE NEWSWIRE) -- Liberty Energy Corp. (OTCBB:LBYE) ("Liberty" or "the Company") announces executing a Letter of Intent to acquire new acreage in Texas.
The Company is pleased to announce that it has signed a memorandum of understanding to acquire an estimated 1,040 acres in Bastrop, Caldwell and Eastland Counties. The Company intends to conduct further geological and geophysical surveys to complete the plan of development for this project.
"We are extremely excited to announce this letter of intent and intend on providing further information on geological and geophysical work to be carried out once we have completed our due diligence process. These new prospects strengthen our commitment to secure Texan assets and ties in with our growth program of continued investment in onshore projects that grow shareholder value," Commented Ian Spowart, CEO of Liberty Energy Corp.
Bastrop County
Bastrop County is located in South Texas. The majority of production in Bastrop is attributed to the Austin Chalk and Navarro formations.1 The county presently houses over 1,700 wells and over 170 operators including; Texas Vanguard Oil Company, Chalker Operating Inc. and Petro-Gas Inc.2 The Eagle Ford Shale formation is in the oil maturity window and is present in Bastrop County. The play is 50 miles wide and an average of 250 feet thick at a depth between 4,000 and 12,000 feet. The oil reserves are estimated at 3 billion barrels with potential output of 420,000 barrels a day.1 Major producers in the county include Anadarko, Exxon-XTO and PetroHawk. Liberty will, under the terms of the LOI, acquire five leases comprising approximately 630 highly prospective acres within the county.
Caldwell County
There are four main pay zones within Caldwell County, the Sepertine, Dale Lime, Austin Chalk and Edwards. There are currently 385 operators (including Eagle Ford Oil Co., Inc., Luling O&G LLC and Texas Petroleum Investment Co.) and nearly 9,000 wells in Caldwell County.2From March 2010 to March 2011 the county produced over 1 million barrels.4 Liberty will, under the terms of the LOI, acquire two leases comprising approximately 300 greatly prospective acres within the county.
Eastland County
In addition to having the Marble Falls, Duffer and Mississippian formations Eastland County is the westernmost extension of the Barnett Shale play and can be considered as part of the active Barnett Shale play area.5 The Bend Arch has had a significant effect on the Barnett Shale with regard to its burial history and geo-thermal makeup. The Barnett is the source rock for the hydrocarbons produced from many of the shallower zones over the Bend Arch such as the Marble Falls and Duffer. There are currently 893 operators (including North Ridge Corporation, Sun Expl. & Prod. Co.-Abilene and B & B Oil, Inc.) and over 10,900 wells in Eastland County.2 Using a geology-based assessment methodology, the U.S. Geological Survey estimated a mean of 26.7 trillion cubic feet (TCF) of undiscovered natural gas, a mean of 98.5 million barrels of undiscovered oil, and a mean of 1.1 billion barrels of undiscovered natural gas liquids in the Bend Arch-Fort Worth Basin Province.6 Liberty will, under the terms of the LOI, acquire one lease comprising approximately 110 considerably prospective acres within the county.
ABOUT LIBERTY: Liberty Energy Corp (OTCBB:LBYE) is an Independent Oil and Gas Exploration and Production Company dedicated to the sourcing and production of fuel supplies in the United States and Europe. Headquartered in Houston, Texas, the company has leases and royalties in both Texas and Bulgaria, covering several wells with extensive potential for future development. In Texas, Liberty owns twelve leases based around numerous geological pay zones. In North-West Bulgaria, Liberty has royalty rights to a 1,000,000+ acre natural gas property (the A-Lovech exploration block), an area of high quality, low-sulphur natural gas condensate. Through this combined international reach and domestic focus, Liberty Energy is committed to the development of U.S. fuel reserves while seeking out further opportunities for the global energy markets.
Certain statements in this press release are forward-looking and involve a number of risks and uncertainties. Liberty Energy Corp. bases these forward-looking statements on current expectations and projections about future events, based on information currently available. The forward-looking statements contained in this press release may also include statements relating to Liberty Energy Corp.'s anticipated financial performance, business prospects, new developments, strategies and similar matters. Liberty Energy Corp. disclaims any obligation to update any of its forward-looking statements, except as may be required by law.
ON BEHALF OF THE BOARD OF DIRECTORS,
Liberty Energy Corp
Ian Spowart, Chief Executive Officer
References
1. http://www.eaglefordshale.com
2. http://www.oginfo.com
3. 'The Luling Field, Caldwell and Guadalupe Counties, Texas', Ernest W. Brucks AAPG Bulletin Volume 9, Issue 3. (May-June), Pages 632 - 654 (1925)
4. http://seekingalpha.com
5. http://www.rrc.state.tx.us
6. http://pubs.usgs.gov