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Pacific Energy Announces Initial Geological Evaluation
| Source: Pacific Energy & Mining Company
RENO, NV -- (MARKET WIRE) -- March 19, 2007 -- Pacific Energy & Mining Company (PINKSHEETS : PEMC )
announces the initial results of its geological evaluation of the Squaw
Canyon field located in San Juan County, Utah. The Squaw Canyon Field
produces from the Desert Creek and Ismay formations at depths from 5320
feet in the Desert Creek and 5520 in the Ismay formation. The Squaw Canyon
Federal 1-19 well tested at over 500 BOPD and was drilled pursuant to
seismic studies.
Initial analysis indicates that the reservoir can be developed on the
basis of 40 acre spacing. The company estimates well costs at between
$1.0 to $1.1 million each, resulting in oil reserves for each offset well
of 200,000 to 300,000 barrels of oil, with initial production rates of
200-300 barrels of oil per day per well. The company plans to initiate
engineering studies to determine locations of new wells. The company
estimates that combined reserves may be over 1 million barrels of oil.
Pacific Energy & Mining is a diversified company with oil and gas interests
in Utah through its recent acquisition of properties in Grand County, Utah,
a 7% working interest in the Brennan Bottoms Oil Field in Uintah County,
Utah, and a 50% revenue interest in the Cisco Springs Oil Field in Grand
County, Utah.
Additionally, the Company owns a 16.67% interest in Mar/Reg Investments, a
General Partnership, through which it holds working interest in oil wells
in Altamont Bluebell Oil Field in Utah and interest in numerous
non-operated oil and gas wells in Oklahoma.
Pacific Energy also owns 80% of the outstanding shares of Pakistan Chrome
Mines Ltd., a mining company with interests in over 34,000 acres of
chromite and magnesite leases in Baluchistan, Pakistan. The leases mineral
reserves contain an estimated 4 million tons of chromite and magnesite.
Disclaimer
The foregoing contains forward-looking information within the meaning of
The Private Securities Litigation Act of 1995. Such forward-looking
statements involve certain risks and uncertainties. The actual results may
differ materially from such forward-looking statements. The company does
not undertake to publicly update or revise its forward-looking statements
even if experience or further changes make it clear that any projected
results (expressed or implied) will not be realized.