Friendly Energy Update


CARSON CITY, Nev., Oct. 3, 2006 (PRIMEZONE) -- Friendly Energy Corp. (Pink Sheets:FDEG) reports today that its joint venture partner, D-Mil Productions, indicates that the North Asher No. 1 well has now been completed with the down hole pump installation. D-Mil reports that oil production should commence immediately.

The company anticipates that initial production to be 100 BOE (Barrels of Oil or its equivalent) from this prospect.

It is anticipated that the North Asher No. 1 has the possibility to increase daily production in excess of 100 BOE per day, however, initial production will be maintained at this output level for 60 days to establish a reserve estimate for the Asher prospect.

Once completed, the company will have qualified the in ground reserve potential of the North Asher prospect, which is anticipated to exceed 350,000 barrels.

"The company is very pleased with the results of the North Asher No. 1 well," states company President Douglas Tallant. "The anticipated cash flow from production and the qualified reserve calculations will provide the company with a significant asset base and shareholder value, which will allow the company further development of the company's oil and gas prospects.

"This is the first of several prospects the Company plans to drill over the next 12-24 months."

The Board of Directors also reports that the company continues its diligence in completing the quarterly filings, and expects to be current with SEC within the next 10 days.

The Asher No. 1 Prospect is located on the western edge of the giant St. Louis oil field in Pottawatomie County, Central Oklahoma.

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.

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.


            

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