SOURCE: EuroGas, Inc.

June 27, 2008 10:33 ET

Seismic Program of Carpathian Oil & Gas Joint Venture to Commence in Southeastern Poland

NEW YORK, NY--(Marketwire - June 27, 2008) - EuroGas, Inc. (PINKSHEETS: EUGS) (FRANKFURT: EUG) (XETRA: EUG) (HAMB: EUG) today announced that Poland's national oil and gas company, Polish Oil & Gas (PGNiG), operator and 51% co-owner of the Carpathian Joint Venture (JOA), in which Polska sp.zo.o owns a 24% interest (London Stock Exchange listed Aurelian Oil & Gas PLC owns the remaining 25% interest), has given notice to the JOA interest holders of its intention to commence the seismic program in the southern portion of the JOA's approximately 3,500 square kilometer(km) concession blocks near the City of Sanok in southeast Poland.

After having formally informed the European Commission in Brussels, and after having received all necessary approvals from the Polish Ministry of Environment, Forestry and Natural Resources in Warsaw, PGNiG plans to conduct a 280 km 2D seismic program in the southern portion of the JOA's concession blocks starting in early August 2008. The seismic program will further delineate the proposed drilling sites for two deep wells. The wells will be drilled to an estimated total depth of approximately 4,000 meters, to test deeper oil and gas bearing horizons. According to the published Annual Reports of the Ministry of Environment, Forestry and Natural Resources and PGNiG, this area may hold hydrocarbon prospects in 12 exploration leads with the largest one potentially containing up to 300,000,000 barrels of oil equivalent.

PGNiG's seismic program is expected to take approximately three to four months to complete, at which time final results of the reprocessed data are expected upon which the JOA interest holders will then decide upon the exact drill-site for the JOA's first well.

RWE-DEA, a wholly owned subsidiary of Germany's giant utility concern RWE, announced an oil discovery situated approximately 40-50 km to the west of PGNiG's seismic site on RWE-DEA's adjacent two Medusa concession blocks.

EuroGas Polska sp.zo.o is a 100 % subsidiary of McCallan Oil & Gas (UK), a closely held British private company. The Company has recently announced that it has entered into a series of agreements to acquire up to 100% of McCallan Oil & Gas (UK).

About EuroGas, Inc.

EuroGas is a publicly traded oil and gas company with assets in Ukraine and Poland, as well as talc mining interests in the Slovak Republic. The company's common stock trades on the Frankfurt and Hamburg Stock Exchanges and Xetra in Germany under the symbol EUG and on the Other OTC (Pink Sheets) in the United States under the symbol EUGS.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:

This press release includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995.

You can identify forward-looking statements by their use of the forward-looking words "anticipate," "estimate," "project," "likely," "believe," "intend," "expect," or similar words. These statements discuss future expectations, contain projections regarding future developments, operations, or financial conditions, or state other forward-looking information. When considering the forward-looking statements made in this press release, you should keep in mind the risks noted and other cautionary statements throughout this press release. You should also keep in mind that all forward-looking statements are based on management's existing beliefs about present and future events outside of management's control and on assumptions that may prove to be incorrect. If one or more risks identified in this press release or other filing materializes, or any other underlying assumptions prove incorrect, our actual results may vary materially from those anticipated, estimated, projected, or intended.

Contact Information

  • For further information, please contact:
    Wolfgang Rauball
    Chairman & CEO
    Telephone: (212) 618-1274
    Fax: (212) 618-1276