Jericho Oil Announces Acreage Swap and Operational Update
TULSA, Okla. and VANCOUVER, British Columbia, Jan. 16, 2018 (GLOBE NEWSWIRE) — Jericho Oil Corporation (“Jericho”) (TSX-V:JCO) (OTC PINK:JROOF) announces that it has entered into an agreement, through its Oklahoma STACK Joint Venture (“STACK JV”), to swap a portion of its undeveloped acreage in Blaine and Major County with Staghorn STACK, LLC (“Staghorn”).
The acreage swap will allow the Company to (i) strategically grow its acreage position in areas in or proximate to current horizontal well development; (ii) participate in the drilling of multiple strategic horizontal wells targeting the Meramec and Osage formations within the Company’s acreage footprint; (iii) continue to aggregate critical drilling, completion and lateral placement data from a proven, best-in-class STACK operator; (iv) secure tag-along rights for a portion of its Blaine County STACK JV acreage; and (v) cost effectively grow production and potentially reserves.
Accordingly, Jericho has elected to participate in the drilling of the Wardroom well (Section 12-19N-13W; 46.87% WI / 37.5% NRI to STACK JV) with Staghorn as the Operator and pay its proportionate working interest share of costs related to drilling and completion. The Wardroom well has been spud and is currently being drilled. It is approximately a 4,500-foot lateral targeting the Meramec formation in the normally-pressured oil window.
Brian Williamson, CEO of Jericho Oil, stated, “With a New Year and oil prices at our back, we are excited about our growing STACK position and to be participating in our first horizontal STACK well targeting the prolific Meramec formation. Our acreage swap agreement ensures Jericho receives critical data for future operated drilling activities, and participation in the drilling of proximate horizontal wells to our footprint, with a proven best-in-class STACK operator. We look forward to updating our shareholders on future growth opportunities as 2018 unfolds.”
The acreage swap is subject to customary due diligence and is expected to close by the end of January.
About Jericho Oil Corporation
Jericho is a growth-oriented oil and gas company engaged in the acquisition, exploration, development and production of overlooked and undervalued oil properties in the Mid-Continent. 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.
Director, Investor Relations
Director, Corporate Communications