SOURCE: West Texas Resources, Inc.

August 15, 2013 11:03 ET

West Texas Resources, Inc. Announces Acquisition of Port Hudson Interest

FRISCO, TX--(Marketwired - Aug 15, 2013) - West Texas Resources, Inc. (OTCQX: WTXR), a Texas-based independent oil and gas company, today announced its acquisition of a 7.24625% working interest in the oil and gas leases, wells and attendant production in the Port Hudson field, Baton Rouge Parish, Louisiana, for total consideration of $702,900.

The Port Hudson field has three producing wells that have produced a total of 1.1 million bbls to date with estimated total remaining recoverable proved developed producing reserves of 294,000 bbls, and 229,000 bbls of proven developed behind pipe reserves. The wells are currently producing 290 bbls per day. West Texas' working interest is subject to certain overriding royalty interests, subject to which West Texas has a 5.65207% net revenue interest in the Port Hudson field.

According to Stephen Jones, CEO of West Texas Resources, "We are pleased and excited to have closed the Port Hudson transaction. The transaction represents our first meaningful oil and gas acquisition. Our working interest provides us with a substantial amount of net reserves and the cash flow from production should put us close to break-even on a cash flow basis."

Forward-Looking Statements:

This press release contains forward-looking statements concerning West Texas Resources, Inc. within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Those forward-looking statements include statements regarding our expectations for the continued production of the wells in the Port Hudson field and the potential profitability of our interest in the Port Hudson field. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. Factors that could cause or contribute to differences include, but are not limited to, the risk that the Port Hudson field may not maintain its present level of production, the risk that we may incur unexpected expenses that renders our interest unprofitable regardless of the level of production and those other risks set forth in West Texas Resources' annual report on Form 10-K for the fiscal year ended September 30, 2012 filed with the SEC on January 14, 2013 and subsequently filed quarterly reports on Form 10-Q. West Texas Resources, Inc. cautions readers not to place undue reliance on any forward-looking statements. West Texas Resources, Inc. does not undertake, and specifically disclaims any obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur.

Contact Information

  • Contact:
    Stephen Jones
    CEO
    West Texas Resources, Inc.
    972.712.1039