SOURCE: Pilgrim Petroleum Corporation

January 04, 2008 10:22 ET

Pilgrim Petroleum to Acquire Additional Production and Acreage in Palo Duro Basin

IRVING, TX--(Marketwire - January 4, 2008) - Pilgrim Petroleum Corporation (PINKSHEETS: PGPM) (FRANKFURT: PHV), an independent oil and gas exploration and production company, announced it has signed a Letter of Intent to acquire a 70% working interest in 8000 acres on Wilbarger County in Texas. This property has a history of great production and significant reserves. The Palo Duro Basin is located in the Texas Panhandle district and is bound on the north by the Amarillo-Wichita Uplift in Oklahoma, to the south by the Matador Arch-Permian Basin in West Texas. The Palo Duro Basin prospect, which is currently being evaluated for further development, has been compared to the Barnett Shale discovery. Barnett Shale is estimated to contain some 30 trillion cubic feet of natural gas. Management believes Palo Duro could prove to be one of the largest natural gas deposits in North America.

Rafael Pinedo, Pilgrim Petroleum CEO-President, said, "A big step for Pilgrim recognizing how difficult it is to find a good property with the current oil prices, we will focus on large-scale oil and gas projects with significant resource potential and continue to acquire properties and bring our wells on line throughout 2008 in order to increase our residual revenue." Currently, Pilgrim Petroleum has modest levels of production from this area. In addition, the board of the directors is currently reviewing additional dividend options for holders of common stock and new additions to management.

About Pilgrim Petroleum Corporation.

Pilgrim Petroleum Corporation (PINKSHEETS: PGPM) (FRANKFURT: PHV) is an independent oil and gas company based in Irving, Texas. The company is acquiring oil and gas leases, producing properties, mineral rights, and surface interests primarily on marginal fields. Once acquired, the company intends to redevelop each property to maximize the income from each property by refurbishing and improving the existing production.

Forward-Looking Statements: The statements which are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties, including but not limited to, the effect of economic conditions, the impact of competition, the results of financing efforts, changes in consumers' preferences and trends. The words "estimate," "possible," and "seeking" and similar expressions identify forward-looking statements, which speak only to the date the statement was made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, because of new information, future events, or otherwise. Future events and actual results may differ materially from those set forth herein, contemplated by, or underlying the forward-looking statements.

2008 Pilgrim Petroleum Corporation. The information herein is subject to change without notice. Pilgrim Petroleum Corporation shall not be liable for technical or editorial errors or omissions contained herein.

Contact Information

  • Contact:
    Investor Relations
    Eddie Monet
    619 864-0166
    Visit our website at: