Superior Oil & Gas Acquires Option to Purchase Kansas Output
Superior Oil and Gas Co.
|Wednesday, January 12, 2005
Superior Oil and Gas Co. purchased on January 5, 2005 an option to acquire, for $3 million cash, assignments of leases in Chautauqua County, Kansas covering approximately 7,320 acres, announced Dan Lloyd, president of Superior.
There are 38 oil wells and 13 coalbed methane gas wells on the properties currently producing approximately 59 barrels of oil and 475 MCF of gas a day. The working interests to be purchased currently gross approximately $103,000 per month and net approximately $83,000 a month after operating costs. There are approximately 78 additional locations on the producing coalbed properties.
The option must be exercised by April 3, 2005.