EGPI Firecreek Inc. (EFIR) boosts land holdings, doubles in price
Posted on: June 27th, 2011Written by:
EGPI Firecreek Inc. (OTCBB: EFIR) shares doubled in price Monday to two-100ths of a cent, after acquiring gas leases. Volume for the stock was 32.3 million shares, dwarfing a daily average around 3.7 million.
A news release dated Monday, June 27, revealed that the company had signed a Letter of Intent with Capco Resources of Texas, Inc. to acquire the Brown Snyder Oil and Gas Leases covering over 640 acres located near Abilene, Jones County, Texas.
EGPI has already begun due diligence and project evaluations with CAPCO in anticipation of the acquisition, including proposed Well Recompletion and Enhancement Work programs. The Company has set a projected date of July 31, 2011, to complete the acquisition of the Brown Snyder property and its oil and gas interests.
The final acquisition will be subject to final negotiations, documentation and requisite approvals. The Company expects to acquire working interests and half of the corresponding 75% Net Revenue Interest associated with the oil and gas leases, including oil and gas reserves and all assets located in Abilene, Texas, inclusive of all surface equipment associated with seven of the nine existing wells that are to be reworked, and participation rights in all future drilling activities.
EGPI Firecreek CEO Dennis Alexander was quoted in the release as saying, “We look forward to working with the CAPCO management in order to move forward now that we have entered into a Letter of Intent. We also continue our plans for growth within our oil and gas division, through the acquisition of the Brown Snyder lease interests.”
Alexander continued, “We believe the upside potential for production activity and enhancement on this property, utilizing modern state-of-the-art techniques, will present an excellent opportunity for the Company.”
The Scottsdale, Arizona-based EGPI,. formerly known as Energy Producers, Inc. is an oil and gas production company focusing on the recovery and development of oil and natural gas.
