US Natural Gas Corp to Boost Productivity through Extension and Diversion of Its Gathering System

Sep 08, 2011, 08:30 ET from US Natural Gas Corp

ST. PETERSBURG, Fla., Sept. 8, 2011 /PRNewswire/ -- US Natural Gas Corp (OTCQB: UNGS - News), an energy exploration company with operations in the Appalachian Basin is pleased to announce that it is currently rerouting the gas flow through its gathering system via a two approach method in an effort to increase productivity.


The Company currently maintains approximately 22 miles of gathering lines and flow lines forming the collective gathering system. Due to the location of several of the deeper wells acquired in the Wilon Resources acquisition, gas production has not been permitted to flow due to the levels of hydrogen sulfide and the wells' proximity to house gas recipients.

The Company is currently extending a main gathering line approximately one-half mile in an effort to span the gap along the eastern section of the natural gas development project. Once the new section is completed with gathering line, ball valves, check valves, and pressure gauges, the  flow of gas will be diverted so as to collect the production from these deeper wells and route it towards the Company's Sulfa treatment facility and safely away from house gas recipients.  

The three deep wells which will be placed into production first through the new gathering section are the Susie Johnson No. 2, Myrtle Crum No. 4 and Chiarenzelli No. 1. The Susie Johnson No. 2, completed to a depth of 4800', is prepared to deliver once the new section is completed.

"The completion of this new section of our gathering system will be extremely beneficial in increasing daily production and allowing us to tie in other wells which may have a slightly higher production of hydrogen sulfide," stated Wayne Anderson, President of US Natural Gas Corp. "The past eighteen months were spent constructing our treatment facilities so that we would have an opportunity to produce from these deeper wells. We anticipate that we will see a positive impact to our revenue from this expansion to our gathering system.  

About US Natural Gas Corp

US Natural Gas Corp is an independent energy company principally engaged in the acquisition, exploration and development of mature long-lived oil and natural gas properties. The company's current operations are concentrated in the Appalachian Basin within the states of Kentucky and West Virginia with core assets consisting of 17,000 acres of mineral rights leases and interest in approximately 150 oil and gas wells.

Safe Harbor Statement

Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein, and while expected, there is no guarantee that we will attain the aforementioned anticipated developmental milestones. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company. Additional risks and uncertainties are set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2010.

US Natural Gas Corp
Shannon Bell, Executive Assistant
(727) 824-2800

SOURCE US Natural Gas Corp