Arena Resources Increases 2005 Capital Expenditure Budget to $24 Million; Estimates 2006 Budget at $35 Million.TULSA, Okla. -- Arena Resources Inc. (AMEX AMEX See: American Stock Exchange : ARD Ard (ärd), in the Bible. 1 Son of Benjamin. 2 Benjamite, perhaps the same as (1.) An alternate form is Addar. ) ("Arena")("company") announced today it has increased its capital expenditure budget by $5.5 million for 2005 to $24 million. On July 14, 2005, the company announced an increase of $4 million in its capital expenditure budget to approximately $18.5 million based on the level of development activity on its Fuhrman-Mascho lease in Andrews County, Texas Andrews County is a county located in the U.S. state of Texas. As of 2000, the population is 13,004. Its county seat is Andrews6. Andrews is named for Richard Andrews, a soldier of the Texas Revolution. . Management has now increased the number of development wells to be drilled on the Fuhrman-Mascho in 2005 to 35, 13 of which will be drilled in the fourth quarter. The increase also includes three additional test wells, for a total of four in 2005, to the Yates gas formation to further evaluate development potential. The company has maintained the number of re-stimulations of existing wells at 20. The company has also accelerated the consolidation and modernization modernization Transformation of a society from a rural and agrarian condition to a secular, urban, and industrial one. It is closely linked with industrialization. As societies modernize, the individual becomes increasingly important, gradually replacing the family, of the infrastructure of the lease in preparation for future developmental drilling. In addition, the company has continued to improve and develop a number of its other properties. In the fourth quarter Arena will drill two development wells and convert one additional well to water injection in preparation for secondary recovery on its East Hobbs lease, drill one development well on its Eva South lease in Texas County, Okla., convert three wells to water injection in preparation for secondary recovery on its Y-6 unit in Fisher County, Texas Fisher County is a county located in the U.S. state of Texas. In 2000, its population was 4,344. It is named for Samuel R. Fisher, a signer of the Texas Declaration of Independence and a Secretary of the Navy of the Republic of Texas. , and drill three additional wells in Kansas (two developmental wells on the Auntie Em lease and a second exploratory well on the Rocky Prospect). Arena management estimates that based on the current level of activity, with no additional acquisitions, its capital expenditure budget for 2006 will be approximately $35 million; however, management will examine the proposed budget more closely at year end, with the possibility of increasing it based on the opportunity to accelerate specific lease development. It is anticipated that the majority of the 2006 capital expenditure budget will be used to further develop the Fuhrman-Mascho lease, on which the company estimates there are currently a minimum of 139 proved undeveloped locations to be drilled. About Arena Resources Inc. Arena Resources Inc. is an oil and gas exploration, development and production company with current operations in Texas, Oklahoma, Kansas and New Mexico New Mexico, state in the SW United States. At its northwestern corner are the so-called Four Corners, where Colorado, New Mexico, Arizona, and Utah meet at right angles; New Mexico is also bordered by Oklahoma (NE), Texas (E, S), and Mexico (S). . This release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 that involve a wide variety of risks and uncertainties, including, without limitations, statements with respect to the company's strategy and prospects. Readers and investors are cautioned that the company's actual results may differ materially from those described in the forward-looking statements due to a number of factors, including, but not limited to, the company's ability to acquire productive oil and/or gas properties or to successfully drill and complete oil and/or gas wells on such properties, general economic conditions both domestically and abroad, and the conduct of business by the company, and other factors that may be more fully described in additional documents set forth by the company. |
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