DALLAS, April 9, 2007 (PRIME NEWSWIRE) -- Cubic Energy, Inc. (OTCBB:QBIK) ("Cubic" or the "Company") announces today that it has initiated drilling of an additional well in Cubic's Bethany Longstreet acreage in DeSoto Parish, Louisiana. The Rushing 18 No. 1 is the 7th well in this area for Cubic and represents the first well of a development program that is financed by Wells Fargo Energy Capital (see March 6, 2007 Press Release).
The Rushing 18 No. 1 was spud on April 7, 2007 and is permitted to a total depth of 10,500 feet. The objectives of this well are the prolific Upper Hosston, Lower Hosston, and Cotton Valley gas sands, along with other potential shallow pays all of which have been encountered in the previous 6 wells drilled by Cubic. Cubic has a 25% working interest in the Rushing 18 No. 1 well.
"The drilling of this well not only adds to wells previously drilled on our acreage, it initiates the development program that Cubic has the opportunity to pursue due to its financial relationship with Wells Fargo and represents the ability of this company and its management to execute its short and long term business plan to add value to the bottom line." Calvin Wallen, CEO further states, "Cubic expects to drill another well immediately following the Rushing 18 No. 1 and is adding to its field operations to conduct initial and additional completions on existing wells with behind pipe value and establish an ongoing development program in this quarter."
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.
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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 Company undertakes no obligation to update these statements for revision or changes after the date of this release. There can be no assurance that any future activities and/or transactions mentioned in this press release will occur as planned.