Rio Bravo Oil, Inc. Announces Initiation of Field Development
HOUSTON, Aug. 27, 2012 /PRNewswire/ -- Rio Bravo Oil, Inc. (OTCBB: RIOB) ("Rio Bravo" or the "Company"), a domestic oil company based in Houston, TX, announced today that it has begun drilling operations on its leasehold in Luling, Texas. The Company recently completed a lease trade with Eagle Energy Trust (EGL-Un.TO) which allows for the extension of a horizontal well across the front of its D.G. Tiller leasehold, located on the Salt Flat Field. The Company then filed for and has received a permit to drill the D.G. Tiller 4H well into the Edwards formation. Drilling on the well is scheduled to commence in October 2012. In addition to the horizontal well, the Company has also begun recompletion of four of its existing Austin Chalk wells.
The Company's plan is to drill several new wells on its acreage in close proximity to existing Edwards production, and then to evaluate the results. The work on the D.G. Tiller 4H well is consistent with the Company's business plan. The Company believes this approach may provide valuable information that may enable Rio Bravo to access significant proved oil reserves associated with its leasehold. Additionally, Company management believes the results from this initial drilling program may provide the basis for guiding the Company's future development plans. Rio Bravo hopes to report initial results from this drilling program in the early part of the 4th quarter.
Rio Bravo's CEO, Tom Bowman, commented, "Development of the Edwards formation has continued with strong results in the Luling Area. Rio Bravo is now positioned to potentially realize value by demonstrating results on the DG Tiller 4H. We continue to define new locations, and will initiate new well permits to expand the drilling program upon completion of the DG Tiller 4H."
About Rio Bravo Oil, Inc.
Headquartered in Houston, Texas, Rio Bravo Oil, Inc. is a growth-oriented, publicly traded exploration and production company with a strategic focus on development of proven undeveloped reservoirs on its properties in the United States and the expansion of its fields through unconventional exploration methods and resource development. Rio Bravo Oil's leasehold position in the Salt Flat and Luling Branyon field has positioned the Company to expand through focused drilling in a productive environment. Additional information is available on the Company's website at http://www.riobravooil.com/
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 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 the Company expects, believes, or anticipates will or may occur in the future are forward-looking statements. These statements are based on certain assumptions made by the Company based on management's experience and perception of historical trends, current conditions, anticipated future developments and other factors believed to be appropriate. Such statements are subject to a number of assumptions, risks, and uncertainties, many of which are beyond the Company's control, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements. Further information on such assumptions, risks and uncertainties is available in the Company's filings with the U.S. Securities and Exchange Commission ("SEC"). The Company's SEC filings are available on its website at www.RioBravoOil.com and on the SEC's website at www.sec.gov. Any forward-looking statement speaks only as of the date on which such statement is made and the Company undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.
SOURCE Rio Bravo Oil, Inc.