Rochester Energy Corp.

January 17, 2007 14:02 ET

Rochester Energy Corp. Announces Acquisition of Gas Assets in Medicine Lodge, Alberta Area

CALGARY, ALBERTA--(CCNMatthews - Jan. 17, 2007) - Rochester Energy Corp. ("Rochester"), is pleased to announce today that it has acquired certain non-operated natural gas producing assets in the Medicine Lodge area of Western Alberta. This acquisition complements Rochester's recently announced oil sands land acquisition by providing stable monthly net operating income, as well as providing Rochester with an internal risk management mechanism to protect the company against rising fuel costs related to steam generation in its oil sands assets.

Rochester acquired varying working interests (12.5% to 25%) in a number of producing wells and in 5,760 gross acres of land in the Medicine Lodge area of Alberta, approximately 120 miles west of Edmonton (the "Lands"). In October 2006, the production from the subject wells averaged 2.5 MMCFD and 40 BLPD (gross) and 369 MCFD of natural gas and 61 BOE/d net to Rochester's interest.

Also included in the acquisition is an 18.75% working interest in the Sequoia Oil and Gas Trust (now Daylight Resources Trust) operated Medicine Lodge Gas Plant. The plant has a design capacity of 15 MMCFD and recovers C5+ on site. Current production through the facility is estimated at 1.8 MMCFD and 24 BLPD. Rochester's technical team has also identified several drilling locations which may provide additional production to the existing assets.

The purchase price for the acquisition was paid by way of cash and promissory note due on February 2, 2007.

Rochester is a junior oil and gas company with head offices in Calgary, Alberta and is a reporting issuer in Alberta, British Columbia and Ontario. Rochester's primary focus is the acquisition, and exploration, of oil sands properties in Alberta.

Common Shares of Rochester are not posted for trading on any stock exchange and are currently subject to cease trade orders in British Columbia and Ontario.

Contact Information

  • Rochester Energy Corp.
    Troy Mochoruk
    Director and CEO
    (403) 618-8989