SOURCE: GeoMet, Inc.

GeoMet, Inc.

September 24, 2009 08:00 ET

GeoMet Provides Update of Its Natural Gas Hedging Position

HOUSTON, TX--(Marketwire - September 24, 2009) - GeoMet, Inc. (NASDAQ: GMET) announced today that it has further increased its natural gas hedges through the addition of new costless collars for 4,000 MMBtu of natural gas per day for the periods and at the prices listed below:

           Period                Floor         Cap     Volume (MMBtu)
           ------                -----        -----    --------------
--       Summer 2010             $5.50        $6.35       856,000
--       Winter 2010 - 2011      $6.50        $7.45       604,000

Darby Seré, the Company's Chief Executive Officer, said, "There is still considerable uncertainty regarding natural gas prices over the near term. Together with our ongoing operational and administrative cost reduction efforts, these new hedges mitigate the risk to our cash flows and operating margin associated with lower natural gas prices."

An updated schedule of GeoMet's natural gas hedge position as of this date is attached.

Forward-Looking Statements Notice

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Careful consideration should be given to cautionary statements made in the various reports the Company has filed with the SEC. GeoMet undertakes no duty to update or revise these forward-looking statements.

About GeoMet, Inc.

GeoMet, Inc. is an independent energy company primarily engaged in the exploration for and development and production of natural gas from coal seams ("coalbed methane") and non-conventional shallow gas. Our principal operations and producing properties are located in the Cahaba Basin in Alabama and the Central Appalachian Basin in West Virginia and Virginia. We also control coalbed methane and oil and gas development rights, principally in Alabama, British Columbia, Virginia, and West Virginia.

Contact Information

  • For more information please contact:
    Stephen M. Smith
    (713) 287-2251
    Email Contact

    John Baldissera
    with BPC Financial
    (800) 368-1217
    or visit our website at www.geometinc.com