HOUSTON, Sept. 18, 2007 (PRIME NEWSWIRE) -- Index Oil and Gas, Inc. (OTCBB:IXOG) ("Index" or "the Company") today announced that initial test results for the George Cason Gas Unit 1 well ("Cason") in the Fern Lake area of Nacogdoches County, Texas achieved a maximum flow rate of 1,168 thousand cubic feet of gas per day.
It is anticipated that Cason will be put on production and begin flowing into the local pipeline grid in October 2007.
Cason is part of the Company's Fiscal Year 2008 portfolio of planned higher impact prospects described in its Operations Summary and Outlook released on June 11, 2007. Prospects in this portfolio could, if successful, significantly grow the Company as a result of increased reserves, production and revenue. As the first of Index's high-potential prospects to achieve flow, Cason builds upon the success achieved with more modest prospects during the Fiscal Year ending March 31, 2007.
Lyndon West, CEO of Index, stated, "We are pleased with the results of the test and the very efficient and timely drilling and testing operation by the operator. We look forward to producing first gas from this well and hope to participate in further wells in the Fern Lake area."
Index has a 24% working interest before payout and 18% working interest after payout. The Fern Lake Area of Mutual Interest, in which Cason was drilled, covers 908 gross and 538 net acres.
About Index Oil and Gas
Index is a gas-biased oil and gas exploration and production company, with activities primarily in Texas, Louisiana, and Kansas. It has offices in Houston, Texas and Bath, England. Index is focused on efficiently building a broad portfolio of producing properties that it believes to have significant upside potential. The Company has an enviable drilling record and intends to grow its existing asset base and revenues through further investment in the U.S. Index seeks to develop its activities in areas containing prolific petroleum systems set in stable political and economic environments.
To find out more about Index Oil and Gas Inc. (OTCBB:IXOG), visit our website at 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. The statements in this document may also contain "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. Since 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.
Pursuant to a June 1, 2007 agreement, Consulting For Strategic Growth 1, Ltd. ("CFSG1") provides the Company with consulting, business advisory, investor relations, public relations and corporate development service, for which CFSG1 receives cash and/or stock compensation.