Lexington Resources, Inc.
Lexington Resources, Inc. UPDATES PROGRESS ON BARNETT SHALE DRILLING AND COMPLETIONS IN TEXAS
Corporate news transmitted by DGAP – a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
——————————————————————————
LEXINGTON RESOURCES, INC. OTCBB Symbol – LXRS
Frankfurt/Berlin Symbol – LXR
WKN: AØBKLP, ISIN: US5295611Ø25
FOR IMMEDIATE RELEASE Las Vegas, Nevada September 25, 2006
LEXINGTON RESOURCES INC. UPDATES PROGRESS ON BARNETT SHALE DRILLING AND
COMPLETIONS IN TEXAS
Las Vegas, Nevada – September 25, 2006 – Lexington Resources, Inc. (OTCBB:
LXRS, Frankfurt, Berlin: LXR) (the “Company”) reported that its Martin #1H
horizontal Barnett Shale gas well in Parker County, TX flowed gas at the
rate of 3.3 MMCF over a 3 hour period during well completion and testing.
The well was then shut in and tied in to the nearby Devon Energy pipeline.
Since that pipeline has a back pressure of over 300 pounds, Lexington’s
technical team has contracted with a compression company to install a
compressor on the line so that gas may flow more freely. The gross well
production is currently between 600 to 800 MCF per day; management
anticipates that the flow rate will increase or stabilize after the
installation of the equipment.
In Palo Pinto County, TX, Lexington completed the Gilbert #1H horizontal
Barnett Shale gas well and tied it into a small diameter pipeline with
significant back pressure. Single point gas flow testing achieved flow
rates in excess of 1.0 MMCF/Day. The well is still in its “cleaning out”
phase after fracture stimulation (“frac”), and also requires compression
equipment to stabilize and enhance production. It is currently producing
approximately 400-600 MCF of gas per day. Oil is also present in minor
quantities, although stable production is not yet achieved. This is a
particularly important well for Lexington since the lease area is 1,211
contiguous acres, which is large enough to support at least an additional 7
horizontal Barnett Shale gas wells, thus increasing reserves. The new
producing well is located in one of the west most locations of any well
drilled to date in the southern half of the Barnett Shale play, and helps
redefine further the expanding boundaries of Barnett Shale production.
In addition, while drilling the Gilbert #1H, a new zone was encountered in
what appears to be a Marble Falls formation previously identified with
seismic information that lies above the Barnett shale. Readings of 5,800
units of gas during drilling indicates that this interval will be analyzed,
followed by a decision to either twin the well or attempt to commingle
production in the current well bore in order to produce from the Marble
Falls zone as well.
The Oliver #1H horizontal Barnett Shale well in Tarrant County, TX, the
Company’s first well in the Barnett Shale area, is being studied with a
view to identifying the location of formation water infiltration of the
well bore that is hampering production, and taking appropriate steps to
stop the flow. If this is successful, management believes that current
production of 100-250 MCF of gas per day will increase.
About Lexington Resources, Inc.: Lexington Resources, Inc. is a junior
integrated natural resource exploration company engaged in the acquisition
and development of oil and natural gas properties in the United States. Its
current operational focus is on gas development initiatives in the Arkoma
Basin, Oklahoma and the Dallas Fort Worth Basin in Texas. For further
information see: www.lexingtonresources.com
Contact North America: Investor Relations, Lexington Resources, Inc.
Phone: +1 (702) 382-5139 Fax: +1 (702) 385-1202
e-mail: info@lexingtonresources.com
Contact Europe: International Market Trend AG
Phone: +41 43 888 67 00 Fax: +41 43 888 67 09
Stock Exchange Information: Symbol: OTCBB – LXRS
Frankfurt/Berlin Symbol – LXR, WKN: AØBKLP, ISN: US5295611Ø25
SAFE HARBOR STATEMENT
THIS NEWS RELEASE CONTAINS “FORWARD-LOOKING STATEMENTS”, AS THAT TERM IS
DEFINED IN SECTION 27A OF THE UNITED STATES SECURITIES ACT OF 1933, AS
AMENDED, AND SECTION 21E OF THE UNITED STATES SECURITIES EXCHANGE ACT OF
1934, AS AMENDED. STATEMENTS IN THIS NEWS RELEASE, WHICH ARE NOT PURELY
HISTORICAL, ARE FORWARD-LOOKING STATEMENTS AND INCLUDE ANY STATEMENTS
REGARDING BELIEFS, PLANS, EXPECTATIONS OR INTENTIONS REGARDING THE FUTURE.
EXCEPT FOR THE HISTORICAL INFORMATION PRESENTED HEREIN, MATTERS DISCUSSED
IN THIS NEWS RELEASE CONTAIN FORWARD-LOOKING STATEMENTS THAT ARE SUBJECT TO
CERTAIN RISKS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER
MATERIALLY FROM ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED
OR IMPLIED BY SUCH STATEMENTS. STATEMENTS THAT ARE NOT HISTORICAL FACTS,
INCLUDING STATEMENTS THAT ARE PRECEDED BY, FOLLOWED BY, OR THAT INCLUDE
SUCH WORDS AS “ESTIMATE,” “ANTICIPATE,” “BELIEVE,” “PLAN” OR “EXPECT” OR
SIMILAR STATEMENTS ARE FORWARD-LOOKING STATEMENTS. RISKS AND UNCERTAINTIES
FOR THE COMPANY INCLUDE, BUT ARE NOT LIMITED TO, THE RISKS ASSOCIATED WITH
PROPERTY DEVELOPMENT AND FUNDING AS WELL AS THE RISKS SHOWN IN THE
COMPANY’S MOST RECENT ANNUAL REPORT ON FORM 10-KSB AND ON FORM 10-QSB AND
FROM TIME-TO-TIME IN OTHER PUBLICLY AVAILABLE INFORMATION REGARDING THE
COMPANY. OTHER RISKS INCLUDE RISKS ASSOCIATED WITH THE REGULATORY APPROVAL
PROCESS, COMPETITIVE COMPANIES, FUTURE CAPITAL REQUIREMENTS AND THE
COMPANY’S ABILITY AND LEVEL OF SUPPORT FOR ITS EXPLORATION AND DEVELOPMENT
ACTIVITIES. THERE CAN BE NO ASSURANCE THAT THE COMPANY’S DEVELOPMENT
EFFORTS WILL SUCCEED AND THE COMPANY WILL ULTIMATELY ACHIEVE COMMERCIAL
SUCCESS. THESE FORWARD-LOOKING STATEMENTS ARE MADE AS OF THE DATE OF THIS
NEWS RELEASE, AND THE COMPANY ASSUMES NO OBLIGATION TO UPDATE THE
FORWARD-LOOKING STATEMENTS, OR TO UPDATE THE REASONS WHY ACTUAL RESULTS
COULD DIFFER FROM THOSE PROJECTED IN THE FORWARD-LOOKING STATEMENTS.
ALTHOUGH THE COMPANY BELIEVES THAT THE BELIEFS, PLANS, EXPECTATIONS AND
INTENTIONS CONTAINED IN THIS NEWS RELEASE ARE REASONABLE, THERE CAN BE NO
ASSURANCE THOSE BELIEFS, PLANS, EXPECTATIONS OR INTENTIONS WILL PROVE TO BE
ACCURATE. INVESTORS SHOULD CONSIDER ALL OF THE INFORMATION SET FORTH HEREIN
AND SHOULD ALSO REFER TO THE RISK FACTORS DISCLOSED IN THE COMPANY’S
PERIODIC REPORTS FILED FROM TIME-TO-TIME WITH THE UNITED STATES SECURITIES
AND EXCHANGE COMMISSION.
THIS NEWS RELEASE HAS BEEN PREPARED BY MANAGEMENT OF THE COMPANY WHO TAKES
FULL RESPONSIBILITY FOR ITS CONTENTS. EACH OF THE NASD, THE SEC AND THE
OTCBB NEITHER APPROVES NOR DISAPPROVES OF THE CONTENTS OF THIS NEWS
RELEASE. THIS NEWS RELEASE SHALL NOT CONSTITUTE AN OFFER TO SELL OR THE
SOLICITATION OF AN OFFER TO BUY NOR SHALL THERE BE ANY SALE OF THESE
SECURITIES IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE
WOULD BE UNLAWFUL PRIOR TO REGISTRATION OR QUALIFICATION UNDER THE
SECURITIES LAWS OF ANY SUCH JURISDICTION.
(c)DGAP 25.09.2006
—————————————————————————
Latest News
Latest Reports
No Reports found
Upcoming Events
No Events found
Webcasts
No Webcasts found