SALT LAKE CITY, Oct. 14, 2004 (PRIMEZONE) -- Publicly traded Apex Resources Group Inc. (OTCBB:APXR) announces that the application for the $7 billion Mackenzie Valley Pipeline has been filed with regulators.
The consortium behind the Mackenzie Valley natural gas pipeline -- Imperial Oil (IMO), ConocoPhillips (COP), Shell Canada Ltd. (SHC), ExxonMobil Canada (XOM) and the Aboriginal Pipeline Group -- has filed an 8,000-page application with the National Energy Board to begin the process of environmental and regulatory review. The need for the pipeline is paramount to transport gas from the Arctic through Canada to the Southern United States.
Apex Resources Group Inc.'s interest in the Itiyok 1-27 well in the Beaufort Sea, which was drilled in 1983, is a 3.745% working interest. A review of the well data and geological prognosis indicates that a 640-acre area would contain proven recoverable gas reserves of 108 Bscf and proven recoverable oil reserves of 8,976 MSTB working interest net reserves of 4.04 Bscf and 336 MSTB. Seismic data indicates a structure closure of approximately 40 square KM with a gross potential reserve of 1.16 TCF and 160 MMSTB (working interest net - 34 Bscf and 4.7 MMSTB). The lands in which the Apex Resources Group Inc. owns an interest comprise 21.54 square KM containing gross potential reserves of 625 Bscf of gas and 86 MMSTB of oil (working interest 23.4 Bscf of gas and 3.2 MMSTB of oil.)
With oil at over $50.00 per barrel and gas close to $7.00 per 1000 cubic feet, Apex interest in proven reserves would be $45 million and with an additional potential to be drilled out would represent $323 million.
The partners with Apex Resources Group Inc. are: Name % Interest IORVL (Imperial Oil) 58.673120 Petro-Canada 14.200000 Anderson 11.871000 Canalands 2.255734 CanNat 1.234450 Gulf 3.003000 Numac Energy Inc. 2.849000 Apex Resources Group Inc. 3.745000 Canadian forest 1.084348 677862 1.084348
Once the pipeline is completed and on-line it will be a tremendous cash flow to Apex Resources Group Inc. Please see an article which appeared in the Friday, October 8, 2004 Vancouver Sun Newspaper headlined "MACKENZIE PIPELINE TAB NOW AT $7 BILLION" for more information.
Apex Resources Group Inc. acquired this interest in 1997 and is excited about the long-term potential of this asset.
By the Board of Director Apex Resources Group Inc. Investor Relations - Roger Reynolds 136 East South Temple, Suite 1600 Salt Lake City, UT, 84111 Tel: 801-363-2599 Email: ContactUs@ApexResourcesGroup.com www.ApexResourcesGroup.com
The foregoing contains forward looking statements. For this purpose any statements contained in this document that are not statements of historical fact may be deemed to be forward looking statements. Without limiting the foregoing, such words as "may", "will", "believes", "anticipates", "estimates", "continue", or comparable terminology intends to identify forward looking statements. These statements by their nature involve substantial risks and uncertainties and actual results may differ materially depending upon a variety of factors, including but not limited to, the successful negotiation and execution of the definitive acquisition agreement and receipt of certain exhibits and schedules requested by Apex Resources Group Inc.