FT. WORTH, Texas, Sept. 14, 2011 /PRNewswire/ -- VHGI Holdings, Inc. (OTC.QB: VHGI) and VHGI Energy, LLC, its wholly-owned operating subsidiary, are pleased to announce that an initial drilling site has been selected and the permitting process begun toward the launching of its drilling program in Tennessee.
VHGI Energy has been working closely with Outdoor Resources of Crossville, TN. The initial well is to be located in Scott County, TN which has a 100 plus year history of oil and natural gas production with some wells producing for over thirty years.
"As a management team we are extremely excited to have this initial well in our introductory drilling program now on a clear path to reality," said Mr. Eric Leonetti, VHGI Energy VP/COO, adding, "Outdoor Resources' and their team have proven to be great partners in this effort. We have great faith in Outdoor Resources' team's site selection and look forward to the opportunity to further this relationship in the immediate future."
The current plans target the commencement of drilling to begin as early as three weeks. It is VHGI Energy's plan to have at least one representative on site to monitor the drilling process.
VHGI Energy, LLC plans an additional four (4) wells as quickly as possible. The wells are to be located in the "Upper Cumberland Region" of north central Tennessee (Morgan, Fentress and/or Scott Counties). The plan is for a shallow drilling program with a target of the Monteagle formation (750'); traditionally Tennessee's top gas and oil producing formation. The Monteagle is the most wide-spread oil and gas producing formation in the Cumberland Plateau.
About VHGI and VHGI Energy
VHGI is a diverse company with assets and interests focusing on opportunities within the Healthcare Technology Industry, Precious Metals and Energy Markets. VHGI Energy, LLC, a wholly owned subsidiary of VHGI, has recently initiated steps to leverage the company's operating history and corporate resources within the Oil, Natural Gas and Mining sectors and intends to pursue these opportunities through Lease-Purchase, Acquisitions and Joint Ventures opportunities.
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SOURCE VHGI Holdings, Inc.