Turnkey E&P Inc.

Turnkey E&P Inc.

March 17, 2009 19:11 ET

Turnkey E&P Inc. Announces Update on Filing for Protection Under Chapter 11 of the United States Bankruptcy Code by Its Wholly Owned U.S. Subsidiary

CALGARY, ALBERTA--(Marketwire - March 17, 2009) - Turnkey E&P Inc. ("Turnkey") (NEX:TKY.H), today announced that on March 13th, the United States Bankruptcy Court granted Turnkey's wholly-owned subsidiary, Turnkey E & P Corporation an extension to May 15, 2009 for the purpose of filing a Plan to emerge from Chapter 11 of Title 11 of the United States Code and to July 14, 2009 to have the plan confirmed by the Court.

Operations Update:

Turnkey has a 25% working interest in the Vieman #1 well in Brazoria County, Texas which has been temporarily suspended after initial tests did not produce hydrocarbons. Partners will review the data to determine if the well has potential to be sidetracked.

Turnkey's McPherson #1 well at Hurricane Creek, Louisiana continues to be gas lifted at a rate of 50 BOPD with 5 % water. McPherson #2 is currently being evaluated for gas lift pending the availability of gas on location from McPherson # 1 and the use of a portable nitrogen production unit.

The Valjean Richard #1 well was placed on production on March 6, 2009 and is currently producing at a rate of 1.3 million SCFPD of natural gas and 30 barrels of condensate per day from the Homeseeker E sand. Before payout Turnkey has a 16.67% working interest and a 12.46% net revenue. After payout Turnkey will have a 15% working interest and an 11.1% net revenue.

Turnkey's total net production is approximately 150 BOE.

This release and the Company's website referenced in this release contain forward-looking statements including expectations of future production and components of cash flow and earnings. Investors are cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Turnkey. These risks include, but are not limited to; the risks associated with the oil and gas industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to; operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks including, without limitation, blowouts and spills, and the uncertainty of estimates and projections of production, costs and expenses. The risks outlined above should not be construed as exhaustive. Investors are cautioned not to place undue reliance on any forward-looking information. Turnkey undertakes no obligation to update or revise any forward-looking statements except as required under applicable securities laws.

Contact Information

  • Turnkey E&P Inc.
    R. M. (Bob) Tessari
    President and Chief Executive Officer
    (281) 248-8822