LOS ANGELES, May 20, 2003 (PRIMEZONE) -- Sonoran Energy, Inc. (OTCBB:SNRN) CEO John Punzo announced today he will be recommending that the Company's Board of Directors support a plan to declare a Special Stock Dividend. The proposal follows the announcement that the company has closed off its financial year-end as of April 30, 2003 and plans to set the date and location of its Annual General Meeting shortly.
Sonoran Energy's management team also announced it will continue to implement new shareholder enhancement and awareness measures to improve shareholder value.
In addition to closing major acquisitions and discovering new reserves, Sonoran has significantly expanded corporate brand awareness. It has joined the Independent Petroleum Association, received updated Research Report coverage on Yahoo! Finance, and been featured on CCBN Street Events, CEOCast, MacReport and MSNBC Television.
Sonoran CEO John Punzo stated, "We are very excited about the significant progress made by our strategic partnership with Longbow, LLC and our acquisition program is seeing very positive results. The stock price has increased substantially and our daily trading volume is up. We are considering declaring a special stock dividend as a reward to our loyal shareholders, which is right in line with our recently announced strategic initiatives.
"In addition to new geological discoveries, the recent purchase of the Merzonian Deer Creek property, along with Sonoran's Mt. Poso Field Emjayco Glide No. 33 property, the Keystone Deer Creek Lease, our San Antonio project and the Malton-Black Butte, Denverton Creek and Maine Prairie Gas Fields, has enabled the Company to focus on generating a solid revenue stream from the Sonoran family of projects."
Domestic U.S. oil and natural gas producers like Sonoran Energy, Inc. are positioned to significantly benefit from rising demand for U.S. domestic oil production in light of tight North American natural gas supplies and world oil production turmoil. Oil supplies held by the 30 nations belonging to the Organization for Economic Cooperation and Development ended March at 2.34 billion barrels, down 260 million barrels from a year earlier, according to the agency which advises industrialized countries on oil policy. Prices have gained 10 percent this month on expectations of further declines in supply.
About Longbow LLC
The principals of Longbow, LLC collectively have over 85 years of diversified oil and gas experience with both majors and independent companies including Chevron, Mobil, Arco Oil & Gas and the U.S. Department of Energy in the largest oil and gas producing basins in North America. Formed in November 2001, Longbow is Archer Exploration, Inc.'s operating partner as they pursue oil and gas acquisition, exploration, and exploitation opportunities in the Western United States.
About Sonoran Energy, Inc.
Sonoran Energy, Inc. aims to identify, acquire and develop working interest percentages in smaller, underdeveloped oil and gas projects that do not meet the minimum requirements of major oil and gas corporations. Sonoran Energy's goal is to be recognized as a promising junior oil and gas producer. Sonoran Energy looks for opportunities with the following criteria: low cost, undervalued and a high rate of return. These projects must include close access to commercial distribution and modern application of oil and gas engineering technology. Targeted projects represent substantial growth with minimum exposure and a low-cost entry. Through its partnership with Longbow LLC, the Company intends to make acquisitions that will, over a 12- to 24-month period, allow the Company to become a producer of 1,000 to 1,500 BOE (barrels of oil equivalent) per day and 2,500 to 5,000 Mcf (thousand cubic feet) of gas.
This news release contains forward-looking statements that are subject to certain risks and uncertainties that may cause actual results to differ materially from those projected on the basis of such forward-looking statements. Such forward-looking statements are made based upon management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995.