Carson City, Nevada. April 3, 2008. Victory Energy Corporation (OTCBB:VYEY - News) announced today receipt of the second revenue payment from natural gas sales from wells producing in Victory’s Canyon Sandstone Gas play, located in the Texas Permian Basin.
The revenue, of approximately $58,400, pre-distribution, represents sales of 12,449 MCF of natural gas production from Victory’s interest in six gas wells. The revenue was based on January 2008 natural gas pricing of $6.9481 per MCF. This revenue number will continue to grow each month as a result of higher pricing in the following months and the continuation of more wells going on-line. The BTU content averaged 1.2170, which is a 21% higher BTU content than the average for natural gas. Revenue for this period is lower than anticipated due to a loss of nine (9) production days as a result of equipment failure and weather conditions.
Jon Fullenkamp, President of Victory Energy Corporation stated, "The project continues to exceed our expectations, despite the nine days of lost production. With higher gas pricing already in the pipeline, the return on investment is exciting to our funding partners.”
The drilling rig on well #166-9 is at a depth of 4,610 feet and should reach total depth by April 6. Logs should be completed by April 7 and after evaluation, the decision to set pipe will be made. Once the cement has had time to cure after setting pipe, both wells #166-9 and #166-8 will be stimulated with a frac job on the same day, which is scheduled to be completed by April 16.
About Victory Energy Corporation:
Victory Energy Corporation (http://www.victoryenergyoilandgas.com) is a publicly traded, developmental stage petroleum company primarily dedicated to energy-related opportunities. The Company goal is to evaluate profitable options, develop a solid foundation through leadership and sound business acumen, and acquire producing wells as well as other potentially profitable prospects within the Oil & Gas Industry. Certain statements contained herein are "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, those discussed in filings made by the Company with the Securities and Exchange Commission. The Company's filings may be accessed at the SEC's EDGAR system at www.sec.gov. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place reliance on such statements.
For information, please contact:
Corporate Communications
1-702-989-9735
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