SOURCE: Adino Energy Corporation

Adino Energy Corporation

April 07, 2011 08:05 ET

Adino Energy Announces Third Permian Basin Acquisition

300 Acre West Texas Lease With Multiple Prospective Zones

HOUSTON, TX--(Marketwire - April 7, 2011) - Adino Energy Corporation (OTCQB: ADNY) (OTCBB: ADNY) today announced it has acquired the 300 acre Coats lease in northeast Runnels County, Texas.

The Coats lease currently has one shutin well with pumpjack, production string and connections to an existing tank battery. With infrastructure already in place, management anticipates restarting production in the second quarter of 2011. The Company believes that there are as many as four potentially productive zones present on the lease.

Based on 20 acre spacing, technical staff has identified 14 drilling prospects on the lease. Primary target zones are the Gardner, Morris and Gray sands as well as the Ellenburger limestone. The Company has initiated a detailed geological evaluation to guide the lease development plan. Several analog wells in the area reported initial production of 100 barrels of oil per day or more.

G. C. 'Sonny' Wooley, Adino Energy's chairman and 30 year oil industry veteran, reported, "This is an excellent acquisition for us. With the existing lease infrastructure, behind-pipe potential and new drilling prospects, this lease fits perfectly into our portfolio."

"We expect to deploy at least $500,000 on the Coats lease over the next 12 months," commented Shannon W. McAdams, CFA, Adino Energy's Chief Financial Officer. "Management views this as an underdeveloped asset with significant upside potential."

About Adino Energy Corporation, Inc.

Adino Energy Corporation (OTCQB: ADNY) (OTCBB: ADNY) is an emerging oil & gas exploration and production company focused on mature oilfield assets with significant redevelopment, workover and enhanced oil recovery (EOR) potential. The Company also owns a fuel terminal operation in the Houston, TX area.

Forward-looking Statements

Statements made in this news release relating to Adino's future production, expenses and future capital projects and expenditures, and all other statements except statements of historical fact, are 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. These statements are based on assumptions and estimates that management believes are reasonable based on currently available information; however, management's assumptions and the Company's future performance are both subject to a wide range of business risks and uncertainties and there is no assurance that these goals and projections can or will be met. Any number of factors could cause actual results to differ materially from those in the forward-looking statements. Further information on risks and uncertainties that may affect the Company's operations and financial performance, and the forward-looking statements made herein, is available in the Company's filings with the Securities and Exchange Commission, which are incorporated by reference as though fully set forth herein.

Contact Information

  • Media Relations:
    Adino Energy Corporation
    Shannon W. McAdams, CFA
    Chief Financial Officer
    Houston, Texas
    (281) 209-9800
    Email Contact