HOUSTON, Nov. 21, 2007 (PRIME NEWSWIRE) -- Index Oil and Gas, Inc. (OTCBB:IXOG) ("Index" or "the Company") today announced that drilling has begun on the George Cason 2 well ("Cason 2") in the Fern Lake Prospect in Nacogdoches County, Texas. The spud took place on November 16th, 2007. The well reached the 9 5/8" casing point at 3100ft and is currently drilling ahead at 3248ft.
Lyndon West, CEO of Index, stated, "The commencement of drilling on the George Cason 2 well clearly demonstrates the Company's objective of investing projects with the potential for follow on drilling. Success in the second well could lead to further drilling on the unit."
Cason 2 is expected to take approximately one month to drill to a planned total depth of around 10,500 feet. The well targets gas in the Lower Cretaceous Travis Peak sandstone, with shallower secondary objectives targeted at the Rodessa, James Lime and Pettet intervals. Index has a 24% working interest before payout and 18% working interest after payout.
As reported in the Company's release of November 16, 2007, the Cason 1 well, which achieved a maximum flow rate of 1.168 mmcfpd (million cubic feet of gas per day), is expected to deliver first gas sales by December 31, 2007.
About Index Oil and Gas
Index Oil and Gas, Inc. is a dynamic gas-biased oil and gas exploration and production Company, with onshore activities primarily in Texas, Louisiana, and Kansas and offices in Houston. The Company's goal is to generate increasing reserves and cash flow from a portfolio of moderate and higher risk potential prospects. After successfully focusing on lower risk prospects to build reserves and near term cashflow in Fiscal Year 2007 (ended March 31, 2007), Index has embarked upon a drilling program in Fiscal Year 2008 of a balanced, risk-managed portfolio of prospects designed to generate significantly higher reserves and production. The Company has an enviable drilling record and intends to grow its existing asset base and revenues through further investment in the U.S.
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 September 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.