MGM Energy Corp.
TSX : MGX

MGM Energy Corp.

March 05, 2008 12:13 ET

MGM Energy Corp. Aput C-43 Well Dry

CALGARY, ALBERTA--(Marketwire - March 5, 2008) -

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO ANY UNITED STATES NEWSWIRE SERVICES OR OTHERWISE FOR DISTRIBUTION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF UNITED STATES SECURITIES LAWS.

MGM Energy Corp. ("MGM Energy") (TSX:MGX) announced today the results of its Aput C-43 well (incorrectly referred to as Aput D-42 in our press release dated January 23, 2008) drilled in the western Mackenzie Delta.

The well encountered natural gas shows in the Aklak formation; however upon review of log data the well does not contain commercial quantities of hydrocarbons. The well did encounter good quality reservoir sections and as a result, MGM Energy will review the potential to retain the well bore for future cuttings injection.

"We are clearly disappointed with the results of these two wells in the Western Mackenzie Delta", said Henry Sykes, President of MGM Energy. "After completion of our third well, we will review the results of this year's program to try to determine why these first two wells did not come in as we had expected. The last well of this winter's program, Langley E-07, is expected to spud by March 15, 2008 and will be completed by mid-April. The drilling and seismic programs continue to track on budget, and we expect to end the winter season with at least $15 million of working capital".

MGM Energy is a Calgary-based Canadian oil and gas exploration and development company with operations in Northern Canada. MGM Energy's common shares are listed on Toronto Stock Exchange under the symbol "MGX".

Certain statements or information included in this press release constitute forward-looking statements under applicable securities legislation. Forward-looking statements or information in this press release include but are not limited to business strategy and objectives, exploration and drilling plans and the timing thereof, as well as the anticipated timing for seeking regulatory approvals. Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect. Although MGM Energy believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because MGM Energy can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by MGM Energy and described in the forward-looking statements or information. The forward-looking statements or information contained in this document are made as of the date hereof and MGM Energy undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Contact Information

  • MGM Energy Corp.
    H. W. (Henry) Sykes
    President
    (403) 781-7800
    (403) 781-7801 (FAX)
    or
    MGM Energy Corp.
    Rick Miller
    Chief Financial Officer
    (403) 781-7800
    (403) 781-7801 (FAX)