BAKERSFIELD, Calif., March 3, 2003 (PRIMEZONE) -- Sonoran Energy, Inc. (OTCBB:SNRN) announced today that the Company has entered into agreements to acquire four new oil and natural gas properties in California. The acquisitions consist of an oil producing property located near Bakersfield, and three established gas operations in the Sacramento Basin. These acquisitions will increase the Company's production and reserves, and move the Company further towards its goal of producing 1000 barrels of oil and 2500 Mcf of gas per day.
The oil acquisition consists of approximately 20 acres, and includes six producing wells and one injection well. This is a straight production acquisition producing about 25 barrels of oil per day. Sonoran Energy is in the process of acquiring a 50% working interest in the property. The Company believes there exists a potential upside to develop further wells on this property to further increase production.
The natural gas acquisitions consist of three working interests that Sonoran Energy intends to acquire varying percentages in. These three acquisitions located in the Sacramento Basin consist of a 1.25 percent working interest in seven wells producing 1000 Mcf/day, a 10 percent working interest in six wells and a water injection well -- together producing 1000 Mcf/day, and a 1.41 percent working interest in four wells producing 1700 Mcf/day.
The Company anticipates taking possession of these acquisitions by April 1, 2003 following full completion of due diligence on the properties.
About Sonoran Energy
Sonoran Energy's primary objective is 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.
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.