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HS RESOURCES ACQUIRES MAJOR COLORADO ACREAGE POSITION

 SAN FRANCISCO, Aug. 30 /PRNewswire/ -- HS Resources Inc. (NASDAQ-NMS: HSRS) ("HSR") today announced that it has accumulated 114,324 gross, 57,162 net, leasehold acres in the Sand Wash Basin of northwestern Colorado and the Washakie Basin of southwest Wyoming. The acreage is located in Moffat County, Colo., and Sweetwater County, Wyo., in an area containing good development of Cretaceous marine and shoreline sandstones which produce oil and gas under similar geologic settings three to 12 miles away. HSR will serve as the designated project operator in a joint venture with industry partners, including Julander Energy Co.
 Prominent geologic target zones are the Mesaverde Group of Upper Cretaceous age with the Almond Formation as the primary objective, along with the various sand packages of the overlying Lewis Formation. Additional potential exists in the Erickson and Rock Springs members of the Lower Mesaverde Group, the Cretaceous Fox Hills and Lance Formations, and the Tertiary Fort Union, Wasatch and Green River Formations. Lewis production in the vicinity contains reserves of 3.5 to 7.1 Bcf per field and the closest Almond/Mesaverde field (Dripping Rock/Mulligan Draw) has produced 29 Bcf.
 Although the acreage acquired must be further tested and drilled to determine its reservoir potential, several recent wells have shown excellent indications of productive potential in the area, including two drilled by Coastal Oil and Gas and one drilled by Bass Enterprises. An additional well will be drilled by Celsius Energy Co. to test the Almond Formation at approximately 13,605 feet. HSR and partners have supported the test by farming out their jointly owned interest in 960 acres. During the third quarter of this year, HSR will conduct a 109-mile proprietary high resolution seismic survey to acquire additional data on the various sand reservoir trends on its leasehold. The company anticipates drilling its initial test well during early 1994.
 While cautioning that the project is designed for the longer term growth of HSR, company President P. Michael Highum noted that it fits the company's strategic principles for expansion, which include: i) control of operations, ii) capture of a significant position, iii) potential for technologic enhancement and application, iv) ability to apply regional expertise, v) likelihood of stacked pays and vi) production potential weighted toward natural gas.
 HS Resources Inc. is one of the most active independent oil and gas development and production companies in the Rocky Mountains. Its common stock is traded on the NASDAQ National Market System under the symbol HSRS.
 -0- 8/30/93
 /CONTACT: P. Michael Highum of HS Resources, 415-433-5795/
 (HSRS)


CO: HS Resources Inc. ST: California, Colorado, Wyoming IN: OIL SU: JVN

LH-PK -- SF008 -- 7142 08/30/93 14:23 EDT
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Publication:PR Newswire
Date:Aug 30, 1993
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