EHHO Discovers Oil in Elk Hills Project

Elk Hills Heavy Oil (EHHO) has discovered oil in its successfully completed second test well located on the 22,000 acre Elk Hills Project in Carbon County, Montana. The second well, the Paugh 2-25, is located approximately 5 miles north of the first well, the Bauwen 15-13.

The Paugh 2-25 well has successfully cored, logged and a sixty foot oil column has been recorded in the Tensleep formation. A continuous sixty feet of four inch core has been recovered from the Tensleep formation for the purposes of technical evaluation of reservoir qualities. Seven inch production casing has been run and well head installed.

EHHO has started drilling its third exploration well near the center of the Elk Hills property, between the first and second well. Oil has been found on both the south end and north end of the property.

EHHO is owned 50% by the Stellar Resources Ltd. and 50% by Elk Hills Petroleum Canada Ltd.

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