Gross Production Exceeds 3,850 Barrels during December
VANCOUVER, Jan 16, 2015 /PRNewswire/ - Jericho Oil Corporation ("Jericho" or the "Company") (TSX-V: JCO,OTCQX: JROOF) today announced that a successful fourth quarter, 2014 drilling program on its Eastern Kansas acreage contributed to a record exit production rate averaging approximately 125 gross barrels of oil per day during December, 2014 with cumulative gross monthly production exceeding 3,850 barrels. Jericho owns a 50% working interest in the acreage.
This represents an increase in production of approximately 150% since Jericho recommenced trading on the TSX Venture Exchange on March 25, 2014 and is the third straight quarter in which the Company has seen an increase in gross production (See Jericho's production growth below – Jericho owns a 50% Working Interest).
On Dec. 9, 2014 Jericho announced that it successfully completed the first stage of its Phase II Drilling Program in Kansas ahead of schedule, drilling 56 new, oil producing wells and 21 new, secondary recovery injection wells into known producing formations between 400 and 700 vertical feet, with an approximately 90% success rate. The newly drilled wells were brought online at various times during December, 2014.
Allen Wilson, CEO of Jericho, stated, "We are extremely pleased that Jericho's successful execution on its 2014 drilling and operating initiatives produced record monthly oil production to close out the year. Even in the face of lower oil prices, the Company is extremely well positioned to survive and thrive in this difficult market: we have growing production, low-cost operations, a strong cash position, no debt and we intend to take advantage of the current market conditions to add high quality acreage to our core properties, as well as opportunistically adding low cost, oil and gas properties in the mid-continent region."
About Jericho Oil Corporation
Jericho is focused on growth through consistent, predictable and repeatable high margin conventional oil production by bringing new and proven technology to legacy, onshore basins in North America. The Company has acquired a 50% interest in 29 leases comprised of nearly 3,750 acres. Jericho expects to continue its extensive development program throughout the next 12 months and will provide updates as the program progresses. For more information, please visit www.jerichooil.com.
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities laws. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual events and results to differ materially from Jericho's expectations include risks related to the exploration stage of Jericho's project; market fluctuations in prices for securities of exploration stage companies; and uncertainties about the availability of additional financing.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Jericho Oil Corporation