HOUSTON, March 31, 2010 (GLOBE NEWSWIRE) -- Savoy Energy Corporation (OTCBB:SNVP) an independent oil and gas company announces today it has secured working and revenue interest in a new well with Paragon Petroleum, Inc. of Houston, Texas. Based on geological reports, the recoverable reserves are estimated to be 27,000 barrels of oil equivalent when on-line and producing. The Company expects that this well will generate approximately 50 barrels of oil per day and 250 mcf of gas in initial production after removal of frac fluid.
The Glass 59 #2 well in Sterling County, Texas is operated by Bright & Company. The Glass 59 #2 well, which has been drilled to a depth of 6,500 feet, has one producing oil zone and one producing gas zone. This will be the fourteenth (14th) producing well that has been drilled within a 5000-acre prospect area and taps into what is known as the Wolfcamp formation. This prospect area is located in Sterling and Mitchell counties, Texas. Testing of the well is expected to be complete within the next three weeks.
This will be the fourth producing well that Savoy Energy has working and revenue interest in and is in definitive discussions with other operators that will increase the Company's total well interests. Currently Savoy Energy has nearly 53% working interests in three other producing wells in Gonzales County, Texas that is producing approximately 40 barrels of oil per day.
"We are excited to participate with Paragon Petroleum on this project and look forward to future participation on other projects," said Arthur Bertagnolli, CEO Savoy Energy Corporation.
About Savoy Energy Corporation
Savoy Energy Corporation (OTCBB:SNVP) is an independent oil and gas company building a diversified portfolio of valuable oil and gas assets in the United States. The company is focused on identifying abandoned oil and gas assets, which are then brought online through recompletion and work-over activities, a meticulous process of evaluation, application of modern well technology, and stringent management controls. This process allows the company to increase its asset base and cash flow, while significantly reducing the cost of initial drilling, and takes away the risk of traditional exploration projects. Savoy Energy's financial structure allows it to minimize the high overhead of traditional E&P companies. For more information visit the Company's web site at: www.savoyenergycorporation.com
Forward-Looking Statement
The statements in the press release that relate to the Company's expectations with regard to the future impact on the Company's results from acquisitions or actions in development are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements in this document may also contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those contained in such statements. Such risks, uncertainties, and factors include, but are not limited to, future capital needs, changes, and delays in product development plans and schedules, or market acceptance.