Goldnev Resources Inc.

Goldnev Resources Inc.

March 01, 2005 09:30 ET

Goldnev To Participate In Deep Well Prospect In Green River Basin, Wyoming


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: GOLDNEV RESOURCES INC.

TSX VENTURE SYMBOL: GNZ

MARCH 1, 2005 - 09:30 ET

Goldnev To Participate In Deep Well Prospect In Green
River Basin, Wyoming

CALGARY, ALBERTA--(CCNMatthews - March 1, 2005) - GOLDNEV RESOURCES INC.
(TSX VENTURE:GNZ), wishes to announce that it is negotiating with
INTERNATIONAL PETROLEUM LLC, a privately held company headquartered in
Utah, to participate in a 14,500 foot well to test the reserve potential
of the Upper Cretaceous age sandstones in western Wyoming. The prospect
is located in the northeastern portion of the Greater Green River Basin
on a line between Crooks Gap and Lost Soldier/Wertz fields.
International Petroleum LLC owns approximately 16,800 acres of fairly
contiguous BLM and State leases in four townships surrounding the
proposed well. The BLM (Federal Bureau of Land Management) has
tentatively agreed to give International Petroleum until July 1, 2005 to
spud the test well to validate any expiring acreage, and a productive
well will thereafter "hold by production" all leases in the project.
Adjacent lease holders are Encana Oil and Gas, Ansbro (Anschutz) Oil and
Gas, and Kerr McGee. (NYSE)

As described in a recent report by Michael L. Pinnell (Wyoming
Professional Geologist #1090) the primary objective of the test well is
a seismically defined anticline with some 800 feet of closure, covering
an estimated 2,700 acres at the top of the Cody (Steel) horizon with as
much as 1,500 feet of pay potential. Additional prospective deeper zones
appear to have closure and thick potential pay zones. These deeper zones
are the same reservoir rocks that are productive at nearby Crooks Gap,
Happy Springs, Lost Soldier, Wertz and several smaller fields, which
have combined cumulative production volumes of 364 million barrels of
oil and over 150 billion cubic feet of gas. Volumetric reserve
calculations indicate that if the test well encounters hydrocarbons in
the postulated anticlinal structure, the upper zone reservoir could
potentially hold up to 600 billion cubic feet of gas over 20,000
productive acres. The reservoir volume of the deeper zones would
potentially contain as much as 3.9 trillion cubic feet of gas over some
20,000 productive acres. A pipeline with up to 10 million cubic feet per
day of spare capacity is located about 5 miles west of the proposed
location.

Goldnev Resources Inc. has an opportunity to earn in the remaining 50%
available gross interest in the project at an estimated cost of $ 3.0
million US dollars. Goldnev is investigating several potential sources
of funding to participate in this and other substantial ventures

ON BEHALF OF THE BOARD

"George Isfan"

George Isfan,

President and Chief Executive Officer

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Goldnev Resources Inc.
    George Isfan
    President and Chief Executive Officer
    (403) 303-3399
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the accuracy of this News Release