NYTEX Announces Success in Marble Falls Drilling Program in North Texas
September 26 2012 - 11:49AM
Business Wire
NYTEX Energy Holdings, Inc. ("NYTEX", or the “Company”)
(OTCBB: NYTE), a Dallas-based energy holding company operating
through its subsidiary, NYTEX Petroleum, Inc. announced the
successful drilling and completion of its first vertical well
drilled into the Marble Falls formation at 5,500 feet in depth
located in Jack County, Texas. The well came in free-flowing at an
initial production rate of 75 barrels of oil per day and 1.8
million cubic feet of high BTU gas per day. High BTU gas currently
sells for over $4.50 per MCF. This well is the first of five wells
that NYTEX recently drilled into the Marble Falls and Barnett Shale
that are awaiting completion, with a sixth well currently drilling
as of the date of this release. Co-funded with industry partners,
NYTEX owns between 10% and 20% through a combination of working
interests and overriding royalty and back-in working interests in
the six wells. NYTEX currently holds leasehold ownership in 1,205
acres on which there are 30 additional drilling locations, with
commitments from mineral owners to acquire an additional 2,500
acres. The Company maintains an ongoing leasehold acquisition
initiative in the Marble Falls play.
As a result of providing land/lease bank services, NYTEX owns
overriding royalty interests in 65,489 acres in Jack, Throckmorton
and Young Counties in the Marble Falls, Mississippi Lime and Caddo
Limestone resource plays. Also, as a result of the Company
generating and selling drilling prospects, NYTEX owns overriding
royalty and/or carried working interests in 22,904 acres in Jack,
Young, Palo Pinto and Stephens Counties.
Michael Galvis, NYTEX President and CEO, commented, "The sale of
our Francis Drilling Fluids, Ltd. operations this past May has
allowed us to not only simplify our balance sheet, fully redeem all
debentures and markedly reduce operating costs and liabilities, but
also turn our focus to the burgeoning opportunities created by our
early success in our target multi-pay oil resource plays."
Mr. Galvis added, “By completing our first six wells, we expect
to enjoy substantial increases in cash flows from oil and gas
production adding to our land services revenues, as well as build
producing oil and gas reserves and create shareholder value."
About NYTEX Energy Holdings, Inc.
NYTEX Energy Holdings, Inc. (website:
http://nytexenergyholdings.com) is a Dallas-based energy holding
company consisting of two subsidiaries, NYTEX Petroleum, Inc. and
Petro Staffing Group, LLC. NYTEX Petroleum, Inc., a wholly-owned
subsidiary, is engaged in the acquisition, development, and resale
of oil and gas leasehold properties in Texas. NYTEX Petroleum, Inc.
also acquires overriding royalty and working interests in the
leasehold properties’ production of oil and gas reserves. Petro
Staffing Group, LLC is a full-service staffing agency providing the
energy marketplace with temporary and full-time professionals.
NYTEX Energy owns 80% of Petro Staffing Group, LLC.
This press release includes “forward-looking statements,” which
may include information concerning the company’s plans, objectives,
goals, strategies, future revenues or performance, capital
expenditures, financing needs and other information that is not
historical information. When used in this release, the words
“will,” “intends,” “expects,” “outlook,” “forecast,” “estimates,”
“anticipates,” “projects,” “plans,” “believes,” and variations of
such words or similar expressions are intended to identify
forward-looking statements. All forward-looking statements are
based upon current expectations and beliefs and various
assumptions. There can be no assurance that the company will
realize these expectations or that these beliefs will prove
correct. The company’s ability to achieve the financial targets
described in this press release is subject to numerous factors and
contingencies, many of which are beyond the company’s control.
These include local and national economic, credit and capital
market conditions, including prevailing interest rates; legal and
regulatory developments, including changes to tax rates, applicable
securities regulations or accounting standards, and ability to
obtain necessary licenses and permits; and geopolitical conditions,
including the occurrence of acts of war or terrorist incidents, and
weather or natural disasters. Any of these factors or others not
named herein could cause the company’s actual results to differ
materially from those expressed as forward-looking statements. In
addition, other risk factors that could cause actual results to
differ materially from the forward-looking statements contained in
this release include those that are discussed in the company’s
filings with the Securities and Exchange Commission. Any
forward-looking statement speaks only as of the date on which it is
made, and the company undertakes no, and expressly disclaims any,
obligation to update any forward-looking statement to reflect
events or circumstances after the date on which it is made or to
reflect the occurrence of anticipated or unanticipated events or
circumstances.