Foothills Resources, Inc. Updates Operational Activities
October 28 2008 - 8:30AM
PR Newswire (US)
BAKERSFIELD, Calif., Oct. 28 /PRNewswire-FirstCall/ -- Foothills
Resources, Inc. (OTC:FTRS) (BULLETIN BOARD: FTRS) (the "Company")
today provided an update on activities in its primary operating
areas in the Texas Gulf Coast and the Eel River Basin in Humboldt
County, California. Texas Production from the Goose Creek,
Cleveland and Saratoga oil fields is currently averaging about 560
barrels of oil and oil-equivalent natural gas per day ("boepd") net
to the Company (750 boepd gross), which is above pre-Hurricane Ike
levels. Although the eye of Hurricane Ike passed directly over the
Goose Creek Field, the Company's facilities suffered relatively
minor damage. That damage has been repaired although the Company's
production from its Texas fields was completely shut down for about
two weeks due to the extensive power outage in the region.
Following the hurricane, Foothills' efforts were focused towards
servicing wells and restoring production. The Company is now
recommencing the ongoing program of recompletions and major
workovers in existing wells, which will carry on through the
remainder of 2008. With regard to the current downturn in the price
of crude oil, approximately 70% of the Company's current oil
production is hedged at an average price of about $71 per barrel,
which will help augment the Company's near term cash flows in this
lower crude price environment. California In the Grizzly Bluff
Field, the Company is currently in the process of hooking up the GB
4 well to allow further testing of the Lower Rio Dell horizons into
the gas sales pipeline. It is anticipated that this well, which was
drilled earlier in 2008, will be produced intermittently as
conditions warrant while the Company attempts to remediate
suspected formation damage. Foothills is also producing the Vicenus
1-3 well, completed in June 2008, on an intermittent basis.
Production from the Christiansen 3-15 well completed in September
2006 is stable at a rate of approximately 170 thousand cubic feet
of gas per day ("mcfpd") net to the Company (300 mcfpd gross).
About Foothills Resources, Inc. Foothills Resources, Inc. is a
growth-oriented independent energy company engaged in the
acquisition, exploration, exploitation and production of oil and
natural gas opportunities in California, Texas and Oklahoma.
Additional information on Foothills Resources is available at
http://www.foothills-resources.com/. SEC Filings and
Forward-Looking Statements This press release contains
forward-looking statements 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. All statements, other
than statements of historical facts, included in this press release
that address activities, events or developments that we expect or
anticipate will or may occur in the future are forward-looking
statements. The words "will," "should," "believe," "intend,"
"expect," "anticipate," "project," "estimate," "predict," "plan"
and similar expressions are also intended to identify
forward-looking statements. These forward-looking statements
include, but are not limited to, statements regarding business
strategy and expansion and growth of our business and operations.
Such forward-looking statements involve assumptions and are subject
to known and unknown risks and uncertainties that could cause
actual results or performance to differ materially from those
expressed or implied by such forward-looking statements. Although
we believe that the assumptions reflected in such forward-looking
statements are reasonable, we can give no assurance that such
assumptions will prove to have been correct. You should also know
that such statements are not guaranties of future performance and
are subject to risks, uncertainties and assumptions, including, but
not limited to, our ability to negotiate additional forbearances
related to any defaults under our credit facility, our ability to
maintain compliance with the terms and covenants of our credit
facility, our ability to consummate any strategic transactions, our
ability to discover reserves that may be extracted on a
commercially viable basis, our ability to accurately estimate oil
and gas reserves, intense competition, environmental risks and
general economic conditions including the price of oil and gas and
the global credit crisis. Readers are urged not to place undue
reliance on these forward-looking statements, which speak only as
of the date of this release. Should any of these risks or
uncertainties materialize, or should any of our assumptions prove
incorrect, actual results may differ materially from those included
within these forward-looking statements. We undertake no obligation
to publicly release the result of any revision to these
forward-looking statements to reflect events or circumstances
occurring after the date of this release or to reflect the
occurrence of unanticipated events. Readers are urged to carefully
review and consider the various disclosures made by us in our
reports filed with the Securities and Exchange Commission,
including the Company's Report on Form 10-Q for the quarter ended
June 30, 2008, which attempt to advise interested parties of the
risks and factors that may affect our business, financial
condition, results of operations and cash flows.
http://www.foothills-resources.com/ DATASOURCE: Foothills
Resources, Inc. CONTACT: Dennis B. Tower, Chief Executive Officer,
or John L. Moran, President, or W. Kirk Bosche, Chief Financial
Officer, 1-888-662-3877, all of Foothills Resources, Inc. Web Site:
http://www.foothills-resources.com/
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