DALLAS, Feb. 8, 2006 (PRIMEZONE) -- Cubic Energy, Inc. (OTCBB:QBIK) ("Cubic" or the "Company") provided an update today on its drilling operations.
The S.E. Johnson 29 #1, the Company's 5th Cotton Valley test in the Bethany Longstreet field, was spud on February 6, 2006. The well has reached a depth of 2,230 feet on its way to a total depth of approximately 10,500 feet. Surface casing is currently being set, and the Company expects drilling to resume shortly.
The S.E. Johnson 29 #1 is located in the most southeastern section of the Company's Bethany Longstreet acreage. This section is adjacent on the southern boundary of Section 20, where the Company recently drilled the S.E. Johnson 20 #1, which was announced as a success on February 6th.
The Company also stated that it is currently installing a 4-inch pipeline that will transport the gas production from the S.E. Johnson 20 #1 to the Company's existing compressor station located approximately two miles to the west of the well. This pipeline is expected to be completed in approximately two weeks.
In addition to the aforementioned wells, Cubic expects to drill at least four additional wells on its Bethany Longstreet acreage during 2006. This acreage now consists of 12 contiguous sections following the acquisition of four additional sections announced on February 7th.
Cubic Energy, Inc. is an independent company engaged in the development and production of, and exploration for, crude oil and natural gas. The Company's oil and gas assets and activity are concentrated primarily in Texas and Louisiana.
This press release includes statements, which may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "expect," or similar expressions. These statements are made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, future trends in mineral prices, the availability of capital for development of mineral projects and other projects, acceptance of the Companies' products and services in the marketplace, competitive factors, dependence upon third-party vendors, and other risks detailed in the Companies' periodic report filings with the "Securities and Exchange Commission". By making these forward-looking statements, the companies undertake no obligation to update these statements for revision or changes after the date of this release. There can be no assurance that the transactions discussed in this press release will be consummated.
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