Crimson Exploration Reports Close on Sale of Barnett Shale Acreage.HOUSTON -- Press release titled: Crimson Exploration Inc. Announces Agreement to Sell Non-operated Interest in Fort Worth Barnett Shale The Barnett Shale is a geological formation of economic significance. It consists of sedimentary rocks of Mississippian age in the U.S. State of Texas. The formation is estimated to stretch from the city of Dallas to west of the city of Fort Worth and south, covering 5,000 square Play, should be replaced with the press release titled: Crimson Exploration Reports Close on Sale of Barnett Shale Acreage. The corrected release reads: CRIMSON EXPLORATION REPORTS CLOSE ON SALE OF BARNETT SHALE ACREAGE Crimson Exploration Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :CXPO) reported today the closing and funding on the previously announced sale of its interests in wells and acreage in the Ft. Worth Barnett Shale play in Johnson and Tarrant counties, Texas. Crimson received, in two separate closings, net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the purchaser of approximately $31 million and has used those proceeds to pay down current amounts outstanding under its revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility. A third and smaller final close is expected to occur by the middle of April; however, the proceeds received to date represent substantially all of the expected final consideration. The proved reserves proved reserves The quantity of minerals expected to be recoverable under current economic and operating conditions. The amount of proved reserves is important in valuing the stock of a company with significant holdings in natural resources. sold represent less than one percent of the Company's reported yearend 2007 proved reserves, and production from the Barnett Shale wells sold represents only approximately two percent of the Company's current daily average production. Allan Keel keel 1. the ventrally directed large surface of the bird's sternum, the site of attachment of the major muscles of flight. Called also carina. 2. the prominent area over the sternum in Dachshunds. , President and Chief Executive Officer of the Company, commented: "We are extremely pleased with the end result on this project. When we joined our partner on pursuing the Barnett Shale in such a competitive area, we anticipated that this would be at least a two year project. However, due to our partner's commitment to focused manpower resources Human resources available to the Services that can be applied against manpower requirements. , and aggressive leasing efforts in the field, we were able to more than double our investment in approximately one year." This press release includes "forward-looking statements" as defined by the Securities and Exchange Commission ("SEC"). Such statements include those concerning Crimson's strategic plans, expectations and objectives for future operations. All statements included in this press release that address activities, events or developments that Crimson expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on certain assumptions Crimson made based on its experience and perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond Crimson's control. Statements regarding future production, revenue and cash flow are subject to all of the risks and uncertainties normally incident to the exploration for and development and production of oil and gas. These risks include, but are not limited to, commodity price changes, inflation or lack of availability of goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. , environmental risks, drilling risks and regulatory changes and the potential lack of capital resources. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Please refer to our filings with the SEC, including our Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2007 for a further discussion of these risks. |
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