Oil Hits U.S. $60 Dollars a Barrel; Crude Oil Inventories Reach Six Year High.SALT LAKE CITY -- Apex Resources Group Inc. (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB: APXR), today reported on news that oil prices set a new record high of $60.00 per barrel. Concurrently, Reuters reported on news that Exxon (XOM-Z) CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , Lee Raymond Lee R. Raymond (born August 13, 1938) was the Chief Executive Officer and Chairman of ExxonMobil from 1999 to 2005. He had previously been the CEO of Exxon since 1993. He joined the company in 1963 and has been president since 1987 and a director since 1984. told reporters that, "gas production has peaked in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. ." Asked whether production would continue to decline even if two huge arctic gas pipelines were built, Lee responded, "I think that's a fair statement, unless there's some huge find that nobody has any idea where it would be." The MacKenzie Valley pipeline This article or section contains information about a planned or expected pipeline. It may contain information of a speculative nature and the content may change dramatically as the construction and/or completion of the pipeline approaches, and more information becomes available. which includes partners Imperial Oil (IMO-T), Shell Canada Shell Canada Limited (TSX: SHC) is one of Canada's largest integrated oil companies. Exploration and production of oil, natural gas and sulphur is a major part of its business, as well as the marketing of gasoline and related products through the company's approximately 1,800 (SHC-T), ConocoPhillips, and Aboriginal Pipeline Group has been stalled due to land access issues with native groups in Canada. At a cost of come C$7 billion (U.S. $5.6 billion), the MacKenzie line could by 2010 bring up to 1.9 billion cubic feet per day of much needed Arctic gas with a steadily rising demand. The larger Alaska Pipeline, also stalled as Exxon, BP and ConocoPhillips seek fiscal terms with the state regulatory clarity from the Canadian government, could tap as much as 6 billion cubic feet a day of gas from the Alaska North Slope Alaska North Slope or Arctic North Slope, region, N Alaska, sloping from the Brooks Range N to the Arctic Ocean. In 1968 large petroleum reserves were found in the Prudhoe Bay area. by 2012 at a cost of $15-$20 billion. "In terms of those two projects, I think Mackenzie is somewhat ahead of Alaska. Obviously, both of them have to go through Canada and to that extent the government has a significant impact on the timing of both projects," Lee continued while speaking to Reuter's reporters. "The facts are that gas production continues to decline, and will start to decline even more rapidly. By the time we get to that period (2010-2012), we will need it badly," Lee concluded. While the number of U.S. rigs drilling for natural gas has climbed about 20 percent over the last year and prices are at record highs, producers have to raise output. Experts say that easy onshore and shallow water See:
The U.S. Energy Information Administration estimates that natural gas production will be flat this year and increase only one half percent next year. "It is clear that the U.S. economy is being adversely impacted by the continuing dependence of foreign sources of fuel which is reaching its peak. The urgent need to turn to domestic sources is becoming seriously evident as consumers question every expenditure. We, at Apex, continue to contend, and evidence is showing, that the pipeline is the only dependable and proven source of fuel is in our backyard Our Backyard was a series for pre-school children which aired at lunchtime on ITV from August 1984 until January 1987.It was produced by Granada Television. The format was simple. . The investment Apex made in 1997 was clearly one of the most foretelling indicators of our future," stated John Hickey, Director. In June 1997, Apex Resources Group purchased a 3.745% working interest in the Beaufort Sea Beaufort Sea (bō`fərt), part of the Arctic Ocean, N of Alaska and Canada, between Point Barrow, Alaska, and the Canadian Arctic Archipelago. The Mackenzie River flows into the sea, which is always covered with pack ice. Area known as the Itiyok 1-27 Well, which was drilled in 1983. A review of the well data and geological prognosis indicates that a 640 acre area would contain proven recoverable gas reserves of 108 Bscf and proven recoverable oil reserves Oil reserves refer to portions of oil in place that are claimed to be recoverable under economic constraints. Oil in the ground is not a "reserve" unless it is claimed to be economically recoverable, since as the oil is extracted, the cost of recovery increases incrementally of 8,976 MSTB MSTB Multipurpose Science & Technology Building MSTB Malaysian Software Testing Board working interest net reserves of 4.04 Bscf and 336 MSTB. Seismic data indicates a structure closure of approximately 40 square KM with a gross potential reserve of 1.16 TCF See Trenton Computer Festival. and 160 MMSTB MMSTB Million Stock Tank Barrels (working interest net - 34 Bscf and 4.7 MMSTB). The lands in which the Apex Resources Group Inc. owns an interest comprise of 21.54 square KM containing gross potential reserves of 625 Bscf of gas and 86 MMSTB of oil (working interest 23.4 Bscf of gas and 3.2 MMSTB of oil). With oil at approximately US$60.00 per barrel and gas close to US$8.00 per cubic feet, Apex interest in proven reserves would be 52 Million US Dollars and with an additional potential to be drilled out would represent 554 Million US Dollars.
Itiyok 1-27
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Part 1 - Proven Gas & Oil Reserves: (640 acre area)
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Total: - A) 108 Bscf - Gas
B) 8.976 MM STB - Oil
Apex Working Interest - (3.745%)
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A) 4.04 Bscf - Gas @US$8.00/ft(3) = US $32.32 Million (Gas)
B) 336,000 STB - Oil @US$60.00/B = US$20.160 Million (Oil)
US$52.48 Million (Gas&Oil)
Part 2 - Probable Gas & Oil Reserves: (40KM(2))
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Total: - A) 1.16 TCF - Gas
B) 160 MM STB - Oil
Apex Working Interest - (3.745%)
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A) 34 Bscf - Gas @ US$8.00/ft(3) = US$272. Million (Gas)
B) 4.7 MM STB - Oil @ US60.00/B = US$282. Million (Oil)
US$554. Million (Gas & Oil)
Part 3 - Possible Gas & Oil Reserves: (21.54 KM(2))
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Total: - A) 625 Bscf - Gas
B) 86 MM STB - Oil
Apex Working Interest - (3.745%)
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A) 23.4 Bscf - Gas @US$8.00/ft(3) = US$187.2 Million (Gas)
B) 3.2 MM STB - Oil @US60.00/B = US$192. Million (Oil)
US$379.2 Million (Gas & Oil)
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Total of All 3 US $985.68 Million (Gas & Oil)
In October 2004 the announcement of the development of the Mackenzie Valley Pipeline became of significant importance to Apex interest in the Beaufort Sea. A substantial portion of the gas to be transmitted from the Beaufort Sea through Alberta will be used to further develop the Alberta Oil Sands (formerly the Alberta Tar Sands Tar sands is a common name of what are more properly called bituminous sands, but also commonly referred to as oil sands or (in Venezuela) extra-heavy oil. They are a mixture of sand or clay, water, and extremely heavy crude oil. ).The Alberta Oil Sand reserves that are retrievable today are estimated to be 280-300 billion barrels of oil and total reserves for Alberta including oil not recoverable by using current technology are estimated at 1700-2500 billion barrels. Cyclic steam stimulation (CSS (1) See Cascading Style Sheets. (2) (Content Scrambling System) The copy protection system applied to DVDs, which uses a 40-bit key to encrypt the movie. ) and steam assisted gravity drainage Steam Assisted Gravity Drainage (SAGD) is an enhanced oil recovery technology for heavy crude oil and bitumen. Description Two parallel horizontal oil wells are drilled in the formation. are currently being used in recovery of oil from the sands. The steam will be generated by the use of the gas to be transmitted by the new pipeline.
By the Board of Directors,
APEX RESOURCES GROUP INC.
Investor Relations: Cynthia DeMonte/DeMonte Associates
575 Madison Avenue - Suite 1006
New York, New York 10022
Tel: 212-605-0525
e-mail: cdemonte@aol.com
www.demonte.com
www.ApexResourcesGroup.com
John M. Hickey
Director
The foregoing contains forward looking statements. For this purpose any statements contained in this document that are not statements of historical fact may be deemed to be forward looking statements. Without limiting the foregoing, such words a "may", "will", "believes", "anticipates", "estimates", "continue", or comparable terminology intends to identify forward looking statements. These statements by their nature involve substantial risks and uncertainties and actual results may differ materially depending upon a variety of factors, including, but not limited to, the successful negotiation and execution of the definitive acquisition agreement and receipt of certain exhibits and schedules requested by Apex Resources Group Inc. |
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