HOUSTON, Aug. 16, 2005 (PRIMEZONE) -- Canyon Creek Oil & Gas, Inc. (a Joint Venture Company between USProduction & Exploration, LLC, a privately held Company, and Universal Property Development and Acquisition Corporation, (OTCBB:UPDA)) today announced the acquisition of a 243 acre oil and gas lease in Victoria County, Texas.
The lease is located in the Inez Gas Field about one mile west of Inez, Texas. It is estimated the reserves remaining total 4.3 billion cubic feet of gas and 105,000 barrels of condensate. The future net value to the company discounted at 10 percent is estimated at $20 million. The leasehold was acquired in exchange for UPDA stock under regulation 144r.
Canyon Creek Oil & Gas, Inc. was formed by USPX and UPDA in July 2005 for the purpose of acquiring oil and gas producing properties, low risk drilling prospects and prospects in need of state-of-the-art technology to make them viable. Canyon Creek Oil and Gas, Inc. has 60 wells located on 2,000 acres in the Fort Worth basin in its current portfolio. The Company is evaluating the properties for Barnett Shale prospects.
"This leasehold acquisition in Victoria County is just one of many acquisitions to follow," said Canyon Creek Oil & Gas Geologist, Donald Orr. "Our company has made an offer to acquire a large property in South Texas in our continuing efforts to acquire significant oil and gas holdings.
"The company has another 15 oil and gas projects in the 'exploration pipeline.' Even though our company is new, our target is to generate net revenue of $800,000 to $1 million per month by the end of the year.
"With oil prices hovering around $65 a barrel and gas prices around $9/mcfg, we believe that our revenue targets are achievable," Orr said. "We are excited about the relationship with UPDA and the opportunity to grow the company."
About Universal Property Development and Acquisition Corporation (OTCBB:UPDA)
Universal Property Development and Acquisition Corporation focuses on the acquisition and development of underperforming commercial and residential real estate as well as proven oil and gas reserves and other energy opportunities through the creation of joints ventures.
About USProduction & Exploration, LLC
USProduction & Exploration, LLC, an independent production and exploration company located in Sugar Land, Texas, is engaged in the acquisition of oil and gas producing properties with multiple enhancement opportunities. USPX seeks high quality exploration drilling projects in conventional and unconventional reservoirs. The Company's approach to developing "depleted" reservoirs and unconventional gas is innovative: it combines horizontal, multilateral, and under balanced drilling methods.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated or expected, or described pursuant to similar expressions.