HOUSTON, March 23, 2007 (PRIME NEWSWIRE) -- Index Oil and Gas, Inc. ("Index," "the Company") (OTCBB:IXOG), today announced an update on drilling progress. The Company is currently in a highly active exploration phase, with operations in progress on 6 wells in Texas;
-- Dark 1, the third and final Taffy well in Matagorda County,
targeting a prospect in Miocene Frio sandstone, spudded on March
20, 2007.
-- Hawkins 1, a recent discovery in Miocene Frio sandstone in
Matagorda County, is awaiting hook-up to the local gas pipeline
infrastructure.
-- Vieman 1, in Brazoria County, continues to test the lower reservoir
in an interval between 11,180 and 11,320 feet measured depth. Gas
produced from this lower reservoir is being sold into the local
pipeline grid. The upper reservoir is planned to be flow tested
and, if successful, also sold into the local pipeline grid.
-- Ilse 1, the first well targeting stacked Wilcox sandstones in the
New Taiton prospect in Wharton County, has reached its planned
total depth of 17,000 feet. Ilse 1 is a potentially high impact
well for Index. Logging is planned as the next activity once the
well bore is conditioned to remove excess formation gas from the
drilling mud.
-- Friedrich Gas Unit 1 (testing the Serrano prospect) in Victoria
County has reached its planned total depth of 4,000 feet. The rig
was released on March 19, 2007. Two potential gas pay zones were
logged consisting of around 14 feet and up to 19 feet in the Frio
and Vicksburg intervals respectively. Flow testing is planned to
take place from these two potential pay zones.
-- Schroeder Gas Unit 1 (testing the Habanero prospect) in Goliad
County spudded on March 22, 2007. The well is planned to be
drilled to 4,000 feet, testing the Frio and Vicksburg intervals.
It will complete the Company's two-well drilling program on the
Serrano and Habanero prospects.
Working interests are as follows: Dark 1 (30%), Hawkins 1 (12.5%), Vieman 1 (19.5%), Ilse 1 (10% (8% after pay out)), Friedrich Gas Unit 1 (37.5%) and Schroeder Gas Unit 1 (37.5%).
These wells, where commercially successful, are expected to add incrementally to the Company's reserves and cashflow in line with the Company's strategy to rapidly build a balanced portfolio of producing assets, without exposing investors to single critical events.
About Index
Index is a gas biased oil and gas exploration and production company, with activities in Kansas, Texas, Louisiana, Mississippi and Alabama. It has offices in Houston, Texas and Bath, England. Index is focused on efficiently building a broad portfolio of producing properties with what it believes to be significant upside potential and intends to grow its existing asset base and revenues through further investment in the U.S. The Company 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 http://www.indexoil.com.
Forward-Looking Statements
The statements in the press release that relate to the company's expectations with regard to the future impact of 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 we believe 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. Index Oil and Gas Inc. 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.