NEW BRAUNFELS, Texas, Aug. 9, 2010 (GLOBE NEWSWIRE) -- Baron Energy, Inc. (OTCBB:BROE) ("Baron" or the "Company"), an independent oil and gas company, today announced that oil production from its lease in Borden County, Texas has increased 50% since April of this year.
Management Comments
Ronnie L. Steinocher, CEO, commented, "Production from our Johnson Lease in Borden County has increased 50% over the past 3 months, from 24 BOPD (barrels of oil per day) to 36 BOPD, and continues to step up. This boost in production appears to be from an adjacent waterflood program which is beginning to impact producing wells on our lease."
Mr. Steinocher also noted, "These wells are long-lived Spraberry Formation producers that often have significant positive response to waterflood conditions. We have now recorded 3 consecutive months of oil production increases on this lease. Along with this oil production increase we are also seeing an increase in associated gas production of around 40%; averaging 20 MCFPD during the past 3 months."
Baron owns a non-operated 27.25% working interest (20.4375% net royalty interest) in this lease. The property includes two producing wells and 160 acres.
About Baron Energy
Baron Energy, Inc. (OTCBB:BROE) is an independent oil and gas production, exploitation, and exploration company headquartered in New Braunfels, Texas with producing assets in the prolific oil producing Permian Basin of West Texas.
Baron owns production that is 99% oil, both operated and non-operated, with working interest ranging from 5% to 100% in oil and gas fields located in Baylor, Borden, Garza, Jones, Runnels, Scurry and Taylor Counties, Texas.
Baron's growth strategy centers on making accretive property acquisitions in its core operating area. The Company targets properties that have oil production with upside developmental potential.
For more information, please visit www.baronenergy.com
Forward-Looking Statement
Certain statements in this press release that are not historical facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by the use of words such as "anticipate," "believe," "expect," "future," "may," "will," "would," "should," "plan," "projected," "potential," "intend," and similar expressions. Such forward-looking statements, involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Baron Energy, Inc. (the "Company") to be materially different from those expressed or implied by such forward-looking statements. The Company's future operating results are dependent upon many factors, including risk factors discussed in the Company's periodic filings with the Securities and Exchange Commission, which are available for review at www.sec.gov, including the Company's Annual Report on Form 10-K filed on October 29th, 2009. The Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.