CARSON CITY, Nev., March 22, 2006 (PRIMEZONE) -- Friendly Energy Corp. (Pink Sheets:FDEG) announces today that through its joint venture partner, a drill rig is being negotiated for the Peach Creek West Prospect and could be made available to begin drilling within the next four weeks.
This would result in the development of both the Asher Prospect and the Peach Creek West Prospect simultaneously. The company has committed to a 50% working interest of the Asher Prospect located on the western edge of the giant St. Louis oil field in Pottawatomie County, Central Oklahoma. This commitment on behalf of the company is up to $375,000.00 dry hole costs.
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.
"We are fortunate to have the opportunity to be involved in this joint venture, which will allow the company access to a Drill Rig to move forward in the development of the Peach Creek West Prospect," states company President Douglas Tallant. "With this joint venture the company will be actively drilling two significant oil prospects simultaneously."
The company plans to begin drilling as soon as a rig is made available. A start date will be determined as soon as negotiations are finished. Due to the high demand of Drill Rigs in the oil fields today, several delays in the start date for drilling have occurred. The development of the Peach Creek West Prospect remains the company's priority.
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.