WILLOW PARK, Texas and NETANYA, Israel, Dec. 16, 2003 (PRIMEZONE) -- According to Sha Stephens, President of Ness Energy International, Inc. (OTCBB:NESS), "Over the last several weeks, Ness Energy has reworked or reconfigured seven (7) of the newly acquired well bores, previously discussed in press releases. Of the seven, four (4) of these are located in Palo Pinto County, Texas and the remaining three (3) are in Parker County, Texas. We are very excited about the increase in production, considering that our rework expenses have been minimal for the amount of work that we have been able to achieve. Several of these wells required equipment replacement and refurbishing since most of it was over 20 years old."
PALO PINTO COUNTY, TEXAS
The Palo Pinto County wells (formerly referred to as the Graford Acquisition) have added approximately 176 mcfd as a result of Ness's rework efforts. This production effort is up from 2.9 mcfd, since the time of assignment. This increase in production equates to approximately an increase of over $20,000.00 per month. Two of the four wells reworked will require additional stimulation in the form of a frac job. These jobs are scheduled for January 6, 2004. At the time of original completion in 1981, both of these wells were only perforated and acidized. At that point in the process, the wells began to flow and were immediately put into the sales line. Since there was no additional stimulation required at that time, the wells produced under what is called "natural conditions." Since the wells were not fracked at that time, Ness is of the opinion that only a certain percentage of the reservoir was drained. "I feel, and I have the support of two petroleum engineers and our chief geologist, that if we perform the engineered frac job recommended for this well, we will be able to break out into the area of the reservoir that possibly has not been drained. Production figures from these wells indicate that they did not produce all of the gas that they could have. These assumptions are based on engineering formulas with the parameters of the job derived by taking into consideration the size of the zone, remaining reservoir pressure, porosity and permeability. We feel that both of these wells could see production anywhere between 100 and 300 mcfd each," stated the Ness President. The remaining wells in Palo Pinto County that were acquired will be re-worked sometime in April, 2004. These wells will be a bit more costly to rework than the ones that have been worked on to date. However, potential returns are greater and Ness hopes that it has saved the best for last.
PARKER COUNTY, TEXAS
Ness also has put forth efforts in Parker County by reworking three additional wells. The first two wells reworked were original Ness wells that were part of the Greenwood Field. A behind pipe zone was completed, in the first well, with an acid job to clean the immediate area around the well bore. The well was put on production at an increased rate of 85 mcfd. According to Mr. Stephens, "The rate of production and the pressures encountered are very encouraging. We will now, since we have had some time for evaluation, engineer a frac job for this well, expecting to increase production more than twice its current producing rate of 105 mcfd." The second well, also an original Ness well, has been re-cemented over the zone of interest. Ness has waited until it has had proper time to evaluate the other Greenwood rework to determine the type of completion that will be used. In the next week or so, Ness will undertake this task.
The third well, which Ness is intensely observing, due to the major impact the results will have on Ness, is being monitored twice a day since the experimental frac job was pumped into the well. This frac job entailed pumping 15,000 barrels or 675,000 gallons of water into the well along with 150,000 pounds of sand. "We are thrilled at the encouraging bits of data that we have monitored during the initial flowback. Also encouraging was the short amount of time it took to see gas to the surface after the frac job." Ness has used conventional methods of extracting the frac water from the well bore. This extraction has been very slow; therefore Ness is removing the pumping unit and rods and will run a down hole submersible pump to increase the rate of return of the frac fluid. To this point, Ness has been extracting 60 barrels of fluid a day. With this submersible method, the extraction rate could increase to between 750 and 1150 barrels per day, based on the Reda pump design. With the quicker de-watering of the well, commercial gas production should be realized in short order. The quantity of natural gas being observed has steadily increased since the first show of gas, four days after the frac job. It is anticipated by management and its consulting engineers that this well should be cleaned up and selling gas in commercial quantities in less than 30 days. "If this well comes in as anticipated," stated Mr. Stephens, "it will redefine completion procedures for this type of zone in the Fort Worth basin. These anticipated results will take Ness to a higher level, not only from an operations stand point, but will also achieve greater corporate credibility. This is something that Dad (Hayseed Stephens, Founder of Ness Energy International) felt would have to happen to elevate Ness to a point never before seen. This added strength and credibility will enable Ness to go forth with everything it needs to drill the deep well at the southwest end of the Dead Sea."
Thus far, Ness has added over a half million cubic feet of gas per day into the sales line as a result of its efforts. Since Ness implemented its New Outlook, cash flow, net worth and shareholder value have all steadily increased. Ness management continues to believe that this is but a glimpse at things to come as it continues to work the plan that it has laid out.
OTHER NEWS
Ness Energy International recently spent time on Wall Street in New York City meeting with brokerage firms, investors, market analysts and deal makers. As a result of these efforts, Ness is pleased to announce that several financial options and deals that make sense for Ness are in the final stages of contracts and signing. Look for news in the very near future concerning these matters.
Ness management is also pleased to announce that the Israeli acquisition detailed in previous press releases has been finalized in draft form. Ness is awaiting original documents for signatures to seal the acquisition. More on this acquisition with details after this document is signed.
Ness is also pleased to announce that it has been negotiating, and is in the option phase, for two separate Parker County acquisitions that would add 31 gas wells and approximately 3,000 acres combined. More news on these exciting events as they unfold.
Ness management, in an effort to keep their shareholders and the public informed, will continue to bring press releases and updates as they happen.
About Ness -- The Vision
The current business of the Company is focused upon development and execution of oil and gas exploration plans with a focus both on pursuits in the petroleum-rich State of Texas, and also in the Middle East, specifically Israel. Ness believes that Israel, in particular the southwest end of the Dead Sea is a place where "Science and The Bible shake hands" and that Ness will achieve the vision of the location and recovery of an abundant source of oil and gas in Israel to supply Israel and the Christian communities with supernatural wealth.
Certain Information
Certain statements in this news release may contain forward-looking information and are based on Management's current expectations, estimates and projections subject to change. Words such as "anticipates," "expects," "intends," "plans," "targets," "projects," "believes," "seeks," "estimates" and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors, some of which are beyond our control and are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. You should not place undue reliance on these forward-looking statements. Unless legally required, the Company undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. The Company disclaims any information that is created or distributed by any outside party and endorses only information that is communicated by its official Press Releases.