HOUSTON, Oct. 19, 2009 (GLOBE NEWSWIRE) -- Baron Energy Inc. (OTCBB:BROE), an independent oil and natural gas company, provides shareholders with an operational update.
Baron Energy has retained an independent engineer to evaluate and recommend an improvement program for its Baylor County, Texas property known as the Green lease. After evaluating the engineer's report, Baron Energy will embark on a rework program. We expect the program to increase production by next month. The engineer has located three deeper zones available to exploit on Baron's 880 acre land position. The three deeper zones that have produced in the surrounding region are: Strawn sand (approx. 4,700 feet), Caddo limestone (approx. 5,000 feet), and Mississippian limestone (approx. 5,300 feet). Baron plans to explore these opportunities in the near future.
In reference to Baron Energy's Starr County, Texas project we are continuing geology and engineering work to develop the deep natural gas potential. As the price of natural gas continues to improve, the likelihood of development of this project is increasing. The company is taking steps to take advantage of this rise in price and is seeking drilling partners.
The company is seeking additional opportunities to add producing and exploration properties to its portfolio and is currently conducting due diligence on several Projects.
About Baron Energy
Baron Energy (OTCBB:BROE) is an independent oil and gas exploration and development company with assets in the prolific oil producing region of North Texas and a significant acreage position along the Texas Gulf Coast. Baron's strategy is to grow production and reserves through low-risk, low-cost exploitation and development combined with higher risk exploration drilling in prospects that have the potential for significant hydrocarbon discoveries. This will be supplemented with acquisitions of underdeveloped properties that complement our current core assets.
Baron intends to focus its efforts on the development and exploitation of its South Texas property primarily through joint ventures with industry partners. In addition the company will continue taking advantage of low-risk opportunities on its existing acreage while continuing to consider exploratory opportunities by applying technology and capital to deeper zones with significant upside potential. In conjunction, Baron will pursue accretive acquisitions in core areas.
Forward-Looking Statement
This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement identified by the words "expects," "projects," "plans," "feels," "anticipates" and certain of the other foregoing statements may be deemed "forward-looking statements." Although Baron Energy believes that the expectations reflected in such forward-looking statements are reasonable, these statements involve risks and uncertainties that may cause actual future activities and results to be materially different from those suggested or described in this press release. These include risks inherent in the drilling of oil and natural gas wells, including risks of fire, explosion, blowout, pipe failure, casing collapse, unusual or unexpected formation pressures, environmental hazards, and other operating and production risks inherent in oil and natural gas drilling and production activities, which may temporarily or permanently reduce production or cause initial production or test results to not be indicative of future well performance or delay the timing of sales or completion of drilling operations; risks with respect to oil and natural gas prices, a material decline in production which could cause the Company to delay or suspend planned drilling operations or reduce production levels; and risks relating to the availability of capital to fund drilling operations that can be adversely affected by adverse drilling results, production declines and declines in oil and gas prices and other risk factors. The Company's complete filings with the Securities and Exchange Commission are available at http://www.sec.gov.