Ryland Oil Corporation Announces Closing of Asset Acquisition
VANCOUVER, BRITISH COLUMBIA--(Marketwire - November 01, 2007) -
Ryland Oil Corporation (the "Company") (TSX VENTURE: RYD) is pleased
to announce that it has completed the acquisition of certain proven
productive and exploratory assets from Jadex Energy Ltd. ("Jadex")
and 1164099 Alberta Ltd. ("1164099"). The properties, acquired by
Ryland's wholly owned subsidiary Pebble Petroleum Inc., are comprised
of two blocks of Crown PNG leases in Saskatchewan totaling 7,998
acres. The properties are contiguous to the Company's existing
leasehold interests and have increased the Company's total acreage in
Saskatchewan to 299,231 acres contained in a block spanning
approximately 85 miles in length and an average of 10 miles in width.
The asset purchase included one wellbore with established production
from the Company's objective formation. The Company paid $1,200,000
cash for a 100% working interest in the properties. In addition, the
sellers have retained a 1% gross overriding royalty on one block of
acreage and a 2% GORR on the second block.
The acquisition of the assets provides a valuable means to enhance
the evaluation of the Company's holdings. Current plans call for
fracture stimulation of the newly acquired wellbore to improve the
productivity from the objective formation. This work is expected to
commence within the next two weeks. The Company believes that
successful recompletion of this well will confirm additional
development drilling opportunities on both the newly acquired acreage
and the Company's adjacent properties.
As previously announced, the Company has also planned an additional
four well drilling program, slated to begin in mid-November, for the
purpose of further testing of the objective formation on the
southeastern extent of the Company's leasehold block. The preliminary
evaluation program has also led to the identification of three more
prospective horizons that will be assessed as part of this drilling
program. The Company continues to be optimistic about the potential
for significant development drilling in 2008.
Shares Issued and Outstanding: 108,954,259
The TSX Venture Exchange has not reviewed and does not accept any
responsibility for the adequacy or accuracy of this news release, and
no regulatory authority has approved or disapproved the information
contained herein.
Contacts:
Ryland Oil Corporation
Gerald J. Shields
President
(604) 742-2528
(604) 736-5004 (FAX)