Alpetro Resources Ltd.

Alpetro Resources Ltd.

March 24, 2008 17:31 ET

Alpetro Resources Ltd.: Press Release

CALGARY, ALBERTA--(Marketwire - March 24, 2008) - Alpetro Resources Ltd. ("Alpetro") (TSX VENTURE:ALF) today announced that the Farm Out Agreement previously reported on December 12, 2007 to raise $870,000.00 from a Calgary Company was cancelled due to non-availability of the funds for the development of two Cardium wells near Edson, Alberta. Subsequently another junior oil and gas company came up with some agreeable funds to earn 50% working interest in four (three shut-in and one drillable) locations for future development.

The pipeline (about 400m) from Edson 14-25 well to CNRL 3-36 Station was installed in the month of January 2008 and all other equipment such as Separators, Pump jack, storage tanker and SCADA systems are being shipped to the site for hook up for a total cost of $400,000.00. The last production from 14-25 well was 32 mcf of gas per day and 49 bbs of oil per day in December 1999. It is expected that the well will be in production in April 2008.

The last production from Edson 12-36 well drilled in July 1983 was recorded 163 barrels per day of water and 145 barrels per day of oil in November 1983. This is our potential shut-in well for test. An amount of $30,000.00 was assigned to clean up the well and perform necessary flow tests in April 2008 before any major expenses occur.

The company is working on bringing the additional "behind pipe" production (about 50 to 60 BOED gross) from these two wells by the end of December 2008.

BOE's may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 Bbl is based on energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

Information provided herein contains forward-looking statements. The reader is cautioned that assumptions used in the preparation of such information, which are considered reasonable by Alpetro at the time of preparation, may prove to be incorrect. Actual results achieved will vary from the information provide and the variations may be material. There is no representation by Alpetro that actual results achieved will be the same in whole or part as those indicated in the forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Alpetro Resources Ltd.
    Mr. Nazrul Islam
    (403) 234-9006
    Alpetro Resources Ltd.
    #2240, 444- 5th Ave SW Calgary, Alberta
    T2P 2T8