SOURCE: Cardinal Energy Group, Inc.

October 02, 2014 08:33 ET

Cardinal Energy Re-Enters First Well on Fortune Leases

'First Well Re-Entry Into the Prolific Caddo Formation'

DUBLIN, OH--(Marketwired - Oct 2, 2014) - Cardinal Energy Group, Inc. (OTCQB: CEGX) is pleased to announce that it has re-entered the CW Hendrick B #1 Well on the Fortune Leases. Work began September 29th with the first drilling crew moving on site. Cardinal is participating in 50% of the play situated on 310 acres. The plan is to re-enter this un-completed and plugged well by re-drilling it the to the prolific Caddo formation.

"This CW Hendrick B #1 well that we are reentering is up-dip to another Caddo well located approximately one mile away that came in flowing 151 BOPD and 204 MCF and has cumulative production of over 56,000 BOE. The CW Hendrick well we are reentering was drilled in September of 1984. It was not completed and was plugged after a good show of oil, most likely due to the worldwide oil price collapse when the real dollar value of oil fell from an average of $78.20 in 1981 to an average of $26.80 per barrel in 1986," Timothy Crawford, CEO of Cardinal remarks, "the seismic amplitude indicates a very sizable reef that covers 190 acres in the Caddo formation on the Fortune leases. As previously stated, our plan is to continue the development of the leases by drilling 3 to 5 new wells into the various other formations. The leases cover 310 acres and have seismic data that will help with delineating additional locations. These leases are contiguous with a lot of potential. The 1400 foot Cook Sandstone in the area south of the Fortune Leases produced over 88 thousand BOE out of about 3 producers, and was abandoned prematurely. It looks like two new wells drilled one north and one south should do well. There are a couple of other well-known zones that produce immediately in the area so we plan to test these new wells to about 2000 feet in depth."

About the Caddo Formation
The Marble Falls, Caddo, and the Mississippi Lime formations are shallow and found in numerous counties within the Fort Worth Basin, and are in the same geographic area as the prolific Barnett Shale play in North Texas. The vast majority of wells drilled to date have been vertical completions, typically providing high initial production, with lower drilling and completion costs. Shorter horizontal legs are showing great promise to date. Because of the limestone's porosity and natural fractures, drill and completion costs can be 35-50% of the typical unconventional well costs compared to other currently active plays in Texas, New Mexico and Oklahoma.

More information on Cardinal Energy Group, Inc. is available at www.cegx.us.

Forward Looking Statements
In connection with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Cardinal Energy Group, Inc., is hereby providing cautionary statements identifying important factors that could cause our actual results to differ materially from those projected in forward-looking statements (as defined in such act). Any statements that are not historical facts and that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, indicated through the use of words or phrases such as "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "intends," "plans," "believes" and "projects") may be forward-looking and may involve estimates and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. These statements include, but are not limited to, our beliefs concerning our ability to increase the rate of oil and gas production, and the expected demand, pricing and operating results for our oil and gas operations.

About Cardinal Energy Group, Inc.
Cardinal Energy Group, Inc. is a U.S producer of oil and natural gas within the United States. The Company is headquartered in Dublin, Ohio and has its regional operations office located in Albany, Texas. We are an environmentally responsible oil and gas Company. Cardinal focuses on known formations that have significant proven reserves remaining that can be produced economically. Cardinal targets fields with wells that may need remediation due to neglect or undercapitalization. We select prospects that offer a strong up-side for production. The upside we seek in a prospect is threefold -- it must have the potential to be restarted or have its current production increased using newer technology and remediation methods and; it must also have additional lease acreage which can be further developed by completing development wells adjacent to existing producing wells, or it must be an overlooked or distressed prospect in the explosive shale formations like the Permian Basin or Eagleford shale. Cardinal exploits these undervalued assets by acquiring a majority working interest in the prospect and then applies the Company's calculated development plan. Cardinal also seeks acquisitions of over-leveraged companies when there is a clear upside from their purchase based on strong commodity prices. The Company operates throughout the Continental United States. More information on Cardinal Energy Group, Inc. is available at www.cegx.us.

Contact Information