HTI Ventures Corp.
NEX BOARD : HTX.H

April 02, 2007 06:30 ET

HTI Ventures Corp.: News Release

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 2, 2007) - HTI Ventures Corp. ("HTI") (NEX:HTX.H) announces that it has signed a farmin agreement (the "Agreement") with Loma Oil & Gas Ltd. ("Loma") and Peak Petroleums Ltd. ("Peak") that covers two sections of land (the "Farmin Lands") in the Ribstone area of Alberta. Pursuant to the Agreement, HTI will have the option to drill a horizontal test well (the "Test Well") at a location of its choice on the Farmin Lands. Upon drilling the Test Well to contract depth, HTI will earn 90% of Loma's 62.5% pre-farmin working interest and 90% of Peak's 6.25% pre-farmin working interest in petroleum in the test well spacing unit down to the deepest depth penetrated by the Test Well, but not beyond the base of the Mannville Group (to be reduced to 60% of Loma and Peak's pre-farmin working interest upon payout of the Test Well). Within 120 days of the rig release of the Test Well, the Agreement grants HTI the further option to drill a second horizontal well (the "Option Well") at a location of its choice on the balance of the Farmin Lands to earn 90% of Loma's 62.5% pre-farmin working interest and 90% of Peak's 6.25% pre-farmin working interest in the remainder of the Farmin Lands (to be reduced to 60% of Loma and Peak's pre-farmin working interest upon payout of the Option Well), again such earned interest to extend no deeper than the base of the Mannville Group.

The Test Well and any Option Well will be drilled to about 1640 feet and then deviated such that a horizontal hole penetrates the McLaren zone for some 1970 feet. An existing technical report on the property states that oil reserves in the McLaren zone of the Farmin Lands are probable.

In conjunction with the execution of the Agreement, HTI will undertake an equity financing in order to (a) fund the drilling of the Test Well; and (b) generate sufficient working capital to allow HTI to reactivate under the TSX Venture Exchange's reactivation policies. The terms of the financing will be announced at a later date.

HTI's obligations under the Agreement are conditional upon (a) HTI receiving approval from the TSX Venture Exchange for this transaction as an NEX Reactivation Transaction; (b) HTI securing financing for the Test Well on terms acceptable to HTI; and (c) HTI's satisfaction with a pending title review of the Farmin Lands. Conditions (a) and (b) are to be satisfied or waived by HTI on or before July 20, 2007 while condition (c) is to be satisfied or waived by HTI on or before April 27, 2007.

CAUTIONARY STATEMENT:

This news release may include certain "forward-looking statements". All statements other than statements of historical fact included in this news release, including, without limitation, statements regarding reserves, present value of future cash flow, exploration results, and future plans and objectives of HTI, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from HTI's expectations are exploration risks, production risks and pricing risks detailed herein and from time to time in other filings made by HTI with securities regulators.

Production information and reserves are reported in units of barrels of oil equivalent ("boe"). Disclosure provided in respect of boe units may be misleading particularly if used in isolation. Where amounts are stated on a boe basis, gas volumes have been converted to barrels of oil equivalent at a ratio of 6,000 cubic feet of gas to a barrel of oil equivalent. This conversion ratio is based upon an energy equivalent method primarily applicable at the burner tip and does not represent value equivalence at the wellhead.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

Contact Information

  • HTI Ventures Corp.
    Gary Moore
    President
    (604) 948-1535