HOUSTON, Jan. 8, 2009 (GLOBE NEWSWIRE) -- Index Oil and Gas Inc. (OTCBB:IXOG) today announced that the Cochran #1 exploratory well in the Garwood prospect located in Colorado County, Texas has commenced production from two intervals. As of January 4, 2009, the well was flowing at a daily rate of more than 6.1 million cubic feet of gas and 100 barrels of oil plus approximately 300 barrels of water through an 18/64-inch choke at 3,766 pounds per square inch flowing tubing pressure. The company holds a five percent working interest in the well and leases in this program. Drilling of the well began in late October 2008 and is part of an ongoing exploration program in South Texas.
"We are very pleased with the results from the Garwood prospect thus far," said Lyndon West, chief executive officer of Index. "Initial data indicates that the well is performing as expected. Drilling of the first appraisal well could be as early as the second quarter of 2009. Index believes that the potential exists to drill additional development wells on the prospect."
In mid-December 2008, the Cochran #1 reached a total measured depth of 16,870 feet after encountering multiple zones indicative of potential natural gas pay.
Last month, Index also announced that the Armour-Runnells #1 ST exploratory well located in Matagorda County, Texas had encountered multiple zones indicative of potential natural gas pay. The Alligator Bayou prospect has reached a total depth of 23,830 feet and is the deepest well the company has participated in drilling to date. Index holds a five percent working interest in the well and leases.
About Index Oil and Gas:
Index Oil and Gas Inc. (OTCBB:IXOG) is an oil and gas exploration and production company with activities primarily in Texas, Louisiana and Kansas and offices in Houston. Its goal is to generate increasing reserves and cash flow from a portfolio of moderate and higher risk potential prospects in the United States. To learn more about Index Oil and Gas, visit the Company's web site at http://www.indexoil.com.
The statements in the press release that relate to the Company's expectations with regard to the future impact on the Company's results from acquisitions or actions in development are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This release may also contain other "forward-looking statements"' within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, such statements should not be regarded as a representation by the Company, or any other person, that such forward-looking statements will be achieved. Because the information may contain statements that involve risk and uncertainties and are subject to change at any time, the Company's actual results may differ materially from expected results. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. In light of the foregoing, readers are cautioned not to place undue reliance on such forward-looking statements.
For a description of risks and other factors that may affect the Company's results of operations and financial performance, see the Company's reports filed with the Securities and Exchange Commission, including the Company's annual report on Forms 10-K and 10-K/A for the fiscal year ended March 31, 2008 and the Company's quarterly reports on Forms 10-Q, copies of which may be obtained from the SEC's website at http://www.sec.gov.