Tyner Resources Ltd.
TSX VENTURE : TIP

Tyner Resources Ltd.

July 06, 2005 13:21 ET

Tyner Announces Drilling of Stephens #1 Well

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 6, 2005) - Tyner Resources Ltd. (TSX VENTURE:TIP) announced today, that Tyner, through its wholly owned subsidiary Tyner Texas Operating Company ("Tyner Texas"), as operator, has initiated drilling activity on Tyner's first Lower Bend Shale well in the Palo Duro Basin area of the Texas Panhandle. The new well, the Stephens #1 well, is located approximately one mile from Vintage Petroleum, Inc. (NYSE:VPI) Echols #1 well in Motley County. The well has been permitted to a total depth of 10,000 feet. Tyner has a 93.75% working interest in the well, subject to a 76% Net Revenue Interest. Grey Wolf Drilling Company mobilized the rig to the site on June 28th and all work in respect of road, pit and pad construction are now completed. The well is expected to take approximately 35 days to drill and an additional 20 to 45 days to attempt completions and production tests as required. The well drilling program is designed to evaluate the Lower Bend Shale and the Granite Wash (Atoka Sands).

J Robby Robson, President and CEO of Tyner Texas, commented on the well initiation, "Tyner will aggressively pursue a drilling plan in the Palo Duro basin area, designed to confirm the presence of significant natural gas reserves, as evidenced by the tests conducted on the Cogdell #1 well. These tests resulted in approximately 3 MMcf per day with associated condensate. We are very pleased to parallel Vintage Petroleum, Inc., who have drilled two additional wells to date in the basin, subsequent to their purchase of the Cogdell #1 well and associated leases from Legacy Petroleum. Tyner has acquired leases on 6,400 acres in the basin and has an option to acquire an additional 6,400 acres, which based on 80 acre spacing would allow for a maximum of a 160 well program. The Stephens #1 well is projected to encounter the Lower Bend Shale at approximately 8,400 feet depth and to test the Granite wash at 9,200 feet. The drilling of the Stephens #1 well should provide critical data to enhance the understanding of the Lower Bend Shale structure and to develop an understanding of the reserve potential of the basin."

Tyner is a well-financed oil and gas exploration company focused on evaluating the potential of its projects in North America and Europe. Tyner has attracted an experienced and focused management team and is very pleased to announce the appointment of J. Robby Robson, President and CEO of Tyner Texas, as a new addition to the Board of Directors. To facilitate Mr. Robson's appointment Mr. Daniel Kunz has agreed to step down from the Board of Directors, and on behalf of the Management and Board we would sincerely like to thank Mr. Kunz for his advice and guidance during his tenure as a Director. Further, Mr. Thomas Wright, a Certified Professional Landman and a member of the American Association of Professional Landmen, has agreed to assist Tyner in land management and surface operations and the Board of Directors has approved the grant of 25,000 stock options to Mr. Wright at an exercise price of $0.94 per share for a period of five years, subject to TSX Venture Exchange acceptance of the Tyner's amended stock option plan.

ON BEHALF OF THE BOARD

Paul Larkin, President

Forward-Looking Statements: Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed and elsewhere in the company's periodic filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The company does not assume the obligation to update any forward-looking statement.


The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Tyner Resources Ltd.
    Paul Larkin
    President
    (604) 687-7767
    (604) 688-9895 (FAX)