SOURCE: Aspen Exploration Corporation

June 23, 2008 11:26 ET

Aspen Exploration Announces Two Successful Gas Wells

DENVER, CO--(Marketwire - June 23, 2008) - Aspen Exploration Corporation (OTCBB: ASPN), with offices in Bakersfield, California and Denver, Colorado, announced that Aspen has completed the drilling of two wells from its 2008 drilling program. The SJDD #11-1 well, located in the Cache Creek Gas Field, Yolo County, California, was drilled to a depth of 4,111 feet and encountered approximately 24 feet of potential gross gas pay in two intervals in the Starkey formation. One of these intervals was perforated and tested gas on a 10/64" choke at a stabilized flow rate of 750 MCFPD and 1380 psig flowing casing pressure. The shut in tubing pressure was 1440 psig and shut in casing pressure was 1500 psig. Aspen has a 30% operated working interest in this well. Gas sales commenced May 20, 2008.

The Johnson Unit #13 well, located in the Malton Black Butte Field, Tehama County, California, was drilled to a depth of 4,896 feet and encountered approximately 125 feet of potential gross gas pay in several intervals in the Forbes formation. This well is currently shut in awaiting completion. Aspen has a 31% operated working interest in this well.

Drilling commenced on the Eastby #1-1 well located in the Malton Black Butte Field in Glenn County, California. This well is scheduled to test the Forbes Formation at a total depth of approximately 5,010 feet. Total cost of the well is estimated at $1,000,000; Aspen has a 30.00% operated working interest in this well.

Aspen has entered into an agreement to participate as a non-operated partner in a new exploration program in the Malton-Black Butte Gas Field in Glenn and Tehama Counties, California. This area is east of Aspen's Malton Black Butte project. Several prospects have been identified in this area that will target Eocene, Kione, and Forbes objectives at depths ranging from 1700 to 5800 feet. The first three wells in this project have been completed as gas wells. The fourth well commenced drilling this week, and additional wells are planned in this project for the Fall of 2008. Aspen has a non-operated 7% working interest in the project.

Seismic processing has been completed on Aspen's Strain Ventures 3D-seismic program in Colusa County, California. This 12-square mile survey is adjacent to Aspen's prolific West Grimes Gas Field. Interpretation of this data by Aspen's consultants is in progress and preliminary results have revealed several potential targets. Aspen plans to drill at least two prospects in the West Grimes-Strain Ventures area in the Fall of 2008, contingent upon rig availability and approval of necessary permits. Aspen has a 32% operated working interest in this project.

Aspen currently operates 66 producing gas wells in California and also has an interest in 25 non-operated gas wells.

In 2007 Aspen acquired a 12.5% working interest in the Poplar producing oil field in Roosevelt County, Montana. After 110% payout, Aspen's interest will revert to 10%. Average gross daily production for the months of April and May, 2008, was 287 barrels oil per day. This field also produces a substantial amount of water that is disposed of by injection into a subsurface formation. Aspen believes that ongoing remedial work will increase production over time. Geologists familiar with the Poplar Field believe the Bakken and Nisku Formations, deeper horizons than those currently being produced, have potential in this field.

For more information, contact R. V. Bailey, CEO, in Aspen's Denver office at 303-639-9860. Aspen invites interested parties to visit Aspen's web site at and be sure to register in the contact box for updated news releases and other information.


This news release contains information that is "forward-looking" in that it describes events and conditions, which Aspen Exploration Corporation ("Aspen") reasonably expects to occur in the future. Expectations for the future performance of the business of Aspen are dependent upon a number of factors, and there can be no assurance that Aspen will achieve the results as contemplated herein and there can be no assurance that Aspen will be able to conduct its operations or production from its properties will continue as contemplated herein. Certain statements contained in this report using the terms "may," "expects to," and other terms denoting future possibilities, are forward-looking statements. The accuracy of these statements cannot be guaranteed as they are subject to a variety of risks, which are beyond Aspen's ability to predict, or control and which may cause actual results to differ materially from the projections or estimates contained herein. These risks include, but are not limited to: the possibility that the described operations (including any proposed exploration or development drilling) will not be completed on economic terms, if at all, or the estimates of reserves may not be accurate. The exploration for, and development and production of, oil and gas are enterprises attendant with high risk, including the risk of fluctuating prices for oil and natural gas, imports of petroleum products from other countries, the risks of not encountering adequate resources despite expending large sums of money, and the risk that test results and reserve estimates may not be accurate, notwithstanding appropriate precautions. Many of these risks are described herein and in Aspen's annual report on Form 10-KSB, and it is important that each person reviewing this report understand the significant risks attendant to the operations of Aspen. Aspen disclaims any obligation to update any forward-looking statement made herein.

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