HOUSTON, June 4, 2015 /PRNewswire/ -- Glori Energy Inc. (NASDAQ: GLRI), an energy technology and oil production company focused on enhanced oil recovery using its proprietary biological AERO™ System, today announced it has acquired an 84% working interest in a producing oil property in Refugio County, Texas. Glori acquired the Bonnie View field in South Texas due to its substantial residual oil in place and because it is well-suited for the deployment of its AERO technology. Of the field's estimated 50 million barrels of original oil in place (OOIP), 19 million barrels of oil (MMBO) has been recovered to date. Glori estimates it has the ability to recover an additional 6 MMBO through the deployment of its AERO System. The Bonnie View field, which is currently producing approximately 70 net barrels of oil per day, was purchased for approximately $2.6 million.
Tom Holland, Senior Vice President, Acquisitions & Production for Glori Energy, said, "This acquisition advances our ongoing strategy to acquire producing oil properties that have a significant amount of oil remaining in place and advantageous characteristics for the AERO System to recover that residual oil. While typically only one-third of oil discovered in a reservoir is recoverable using conventional technologies, Glori's innovative AERO technology can potentially recover an additional 20% of the remaining oil at a cost of less than $10 per incremental barrel produced."
Glori expects to deploy the AERO System in the Bonnie View field this winter and anticipates that field production should grow steadily throughout 2016. Simultaneously, while undertaking the necessary preparations for AERO deployment, Glori will implement conventional field optimization operations that could also materially increase current production.
"In this market, we are focused on acquiring additional oil fields that can benefit from the AERO System. As we work on a number of opportunities of varying scale, we look for waterflood or waterdrive sandstone fields that have a combination of current production and significant oil left behind," Holland added.
ABOUT GLORI ENERGY INC.
Glori Energy is a Houston-based energy technology and oil production company that deploys its proprietary AEROTM System to increase the amount of oil that can be produced from conventional oil fields. Glori owns and operates oil fields onshore U.S. and additionally provides its technology as a service to E&P companies globally. Only one-third of all oil discovered in a typical reservoir is recoverable using conventional technologies; the rest remains trapped in the rock. Glori's proprietary AERO System recovers residual oil by stimulating a reservoir's native microorganisms to sustainably increase the ultimate recovery at a low cost. For more information, visit www.GloriEnergy.com.
FORWARD LOOKING STATEMENTS
Any statements contained herein which are not statements of historical fact may be deemed to be forward-looking statements, including, without limitation, statements identified by or containing words like "believes," "expects," "anticipates," "intends," "estimates," "projects," "predicts," "potential," "target," "goal," "plans," "objective," "should," "will," or similar expressions. All statements by us regarding our possible or assumed future results of our business, financial condition, liquidity, results of operations, models, plans and objectives and similar matters are forward-looking statements. Glori gives no assurances that the assumptions upon which such forward-looking statements are based will prove correct. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions (many of which are beyond our control), and are based on information currently available to us. Actual results may differ materially from those expressed herein due to many factors, including, without limitation: the risk that any projections, including models, earnings, revenues, expenses, margins, or any other financial expectations are not realized; oil production rates; oil prices; the efficacy of changes in oil fields acquired or treated by us; competition and competitive factors in the markets in which Glori operates; the expected cost of recovering oil using the AERO System, demand for Glori's AERO System and expectations regarding future projects; adaptability of the AERO System and development of additional capabilities that will expand the types of oil fields to which Glori can apply its technology; plans to acquire and develop additional oil fields and the availability of debt and equity financing to fund any such acquisitions; the percentage of the world's reservoirs that are suitable for the AERO System; the advantages of the AERO System and our refinements thereto compared to other enhanced oil recovery methods; and Glori's ability to develop and maintain positive relationships with its customers and prospective customers. Although Glori believes that the expectations reflected in such forward looking statements are reasonable, it can give no assurances that such expectations will prove to be correct. These risks are more fully discussed in Glori's filings with the Securities and Exchange Commission. Glori undertakes no obligation to update any forward-looking statements contained herein to reflect events or circumstances, which arise after the date of this document except as required by law.
Glori Energy Contact Victor M. Perez Chief Financial Officer 713-237-8880 email@example.com
Media Contact Meredith Frazier BIGfish Communications for Glori Energy Meredith@bigfishpr.com 513-402-8833
SOURCE Glori Energy Inc.