SOURCE: Rancher Energy

August 14, 2008 08:42 ET

Rancher Energy Corp. Gains Approval for Big Muddy River 2nd Frontier Unit

DENVER, CO--(Marketwire - August 14, 2008) - Rancher Energy Corp. (OTCBB: RNCH) today announced that the Wyoming Oil & Gas Conservation Commission has approved the Company's Big Muddy River 2nd Frontier Unit. The approval is subject to the Company receiving the statutory 80% ratification of the Unit from royalty and working interest owners within the Unit boundaries.

John Works, president and CEO of Rancher Energy, said the Commission's action provides a key regulatory approval for Rancher Energy to move forward with its development plans in the Big Muddy Field, adding that the 2nd Frontier formation is one of several formations that Rancher Energy believes will be productive in the field.

"Unit approval on the Big Muddy is a critical milestone in our overall development plans in the Powder River Basin," said Works. "We continue to work to secure financing required to execute those plans."

In addition to the Big Muddy, Rancher Energy also owns the nearby Cole Creek South and South Glenrock B fields -- all three of which are historically productive oil fields in the Southwest corner of the Powder River Basin.

About Rancher Energy Corp.

Rancher Energy is an innovative oil & gas exploration & development company with a targeted strategy to reinvigorate older, historically productive oil fields in the hydrocarbon-rich Rocky Mountain region of the United States. Using CO2 injection coupled with other leading edge hydrocarbon recovery techniques, including 3-D seismic data and directional drilling, Rancher Energy expects to extract proven in-place oil that remains behind in mature fields. Rising energy demand and strong oil & gas prices combined with advances in oil recovery have made this strategy profitable. Rancher Energy is taking advantage of this convergence by acquiring low risk, high quality, historically productive plays with under-exploited reserves and developing customized enhanced recovery strategies to maximize production.

Forward-Looking Statements

This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the Company believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include the Company's ability to obtain financing to construct pipeline and other infrastructure and for other operational and working capital purposes, the uncertainty of recovery factors for the enhanced oil recovery projects, the volatility of oil prices, availability of CO2 and performance of related contractual obligations, general economic and business conditions, and other factors over which the Company has little or no control. The Company does not intend (and is not obligated) to update publicly any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the Company's recent filings with the SEC.

Contact Information

  • Contacts:

    John Works
    Chief Executive Officer
    Rancher Energy Corp.
    303-629-1125

    Jay Pfeiffer
    Pfeiffer High Investor Relations, Inc.
    303-393-7044