Ignis Petroleum Group, Inc.
OTC Bulletin Board : IGPG

September 07, 2005 08:18 ET

Ignis Petroleum Group, Inc. Receives Independent Prospective Resource Assessments on Leases in Alabama & Louisiana

DALLAS--(CCNMatthews - Sep 7, 2005) -

Estimated Gross Resources up to 534 Thousand Barrels of Oil Equivalent (Mboe) and 118 Billion Cubic Feet of Gas Equivalent (Bcfge)

Ignis Petroleum Group, Inc. (OTCBB:IGPG) (the "Company") is pleased to announce that a prospective resource assessment prepared by Netherland, Sewell & Associates, Inc. has confirmed that two leases in which the Company owns a 75% working interest may hold significant amounts of commercially-recoverable quantities of oil and gas. The assessment evaluated the Company's Barnett Crossroads Prospect located in Escambia County, Alabama and the North Wright Prospect located in Acadia Parish, Louisiana.

The undiscovered prospective resources included in the report indicate exploration opportunities and development potential in the event a commercial discovery is made and should not be construed as reserves. The assessment included a detailed review of geological and geophysical data and tested the economic viability for development of discovered hydrocarbons.

The Barnett Crossroads Prospect is an anticlinal trap with four-way structural closure at the Smackover Formation level. The prospect is surrounded by several fields that have produced from the target interval. These fields include the Gravel Hill Church, Canaan Church, Narrow Gap Creek, and Dean Creek Fields, among others. The prospect area is covered with an 18-square-mile 3-D seismic survey. Estimated gross resources are up to 534 thousand barrels of oil equivalent (Mboe) with estimated mean gross resources of 355 Mboe. A well, drilled to a depth of 14,500 feet, is needed to test the prospect.

The North Wright Prospect is a fault-bounded structural trap at the Margulina Texana (Marg Tex) level. The prospect is a deeper target in the same fault block and has the same structural configuration as a discovery at the shallower Camerina level. The Marg Tex is a lower Oligocene, Middle Frio slope sandstone. The Prospect is defined by a 50-square-mile proprietary 3-D seismic survey. Estimated gross resources are up to 118 billion cubic feet of gas equivalent (Bcfge) in three sands with estimated mean resources of 79 Bcfge. A well, drilled to a depth of 16,500, is needed to test the prospect. Further details on the report will be made available on our website shortly.

"I am extremely pleased that an independent review of our two initial prospects has been so promising," stated Philipp Buschmann, Ignis' Chief Operating Officer.

About Netherland, Sewell & Associates, Inc. (NSAI)

NSAI provides integrated consulting services to the oil and gas industry. These include encompassing geophysics, geology, petrophysics, engineering, reservoir modeling and economics. NSAI has performed geophysical, geologic and engineering studies for leading major integrated petroleum companies, both small and large independent oil and gas companies, and various financial institutions and government agencies of reservoirs around the globe.

About Ignis Petroleum

Ignis Petroleum Group, Inc. is a Dallas-based oil and gas company commencing its business plan for the exploration, acquisition and development of crude oil and natural gas properties in the United States. Company management plans to build an energy portfolio that combines low risk, high potential projects with higher yield, higher risk projects. The Company focuses on prospects that result from new lease opportunities, new technology and new information. For further information visit www.ignispetro.com.

Safe Harbor for Forward-Looking Statements: This release contains certain "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995, including, without limitation, expectations, beliefs, plans and objectives regarding the potential transactions and ventures discussed in this release. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are the risks inherent in oil and gas exploration, the need to obtain additional financing, the availability of needed personnel and equipment for the future exploration and development, fluctuations in gas prices, and general economic conditions.

Contact Information

  • Ignis Petroleum Group, Inc., Dallas
    Investor Relations, 877-700-1644
    E-mail: www.ignispetro.com