Devon to Spend $60 Million in 2005 for Alaskan Exploration

Apex Resources Group reports that Devon Energy plans to spend $60 million in 2005 to explore nine locations off the Arctic Coast in the Beaufort Sea. Nisku's Akita Drilling will lead the drilling program. Akita has been working with Devon and other producers on the land-based MacKenzie drilling program.

"The fact that producers in Alaska recently revived plans for a gas pipeline to the south is encouraging for companies that have been toiling up north for years without any way to get their product to market," stated Robert Hunt, Vice President of Akita (source: Edmonton Journal).

Bringing equipment in on barges during the summer helped Akita get an earlier start in the delta this winter, where it is drilling new wells for Chevron and Encana. It is also drilling a well for Northrock Resources farther south in the central valley, and three holes for Apache at Colville Lake.

Apex concurrently reported on news concerning the proposed $7 billion, 1,22--kilometer Mackenzie Valley pipeline - which energy industry players indicate is badly needed by North Americans to supply the continent's ever-growing thirst for natural gas - to heat homes and power the electrical grid - as existing production in the United States and southern Canada slowly declines. The pipeline, they added, could also be a big boost for the economy of the north.

"We cannot overemphasize the potential these activities hold for Apex with revenue estimates ranging from $45 million to $323 million based on the breadth of drilling activity and natural gas prices. News headlines focus on the Beaufort Sea and the MacKenzie Valley area, the exact location of Apex Resources' investment.

The Arctic area, which was once desolate, is now full of activity with drilling rigs, personnel and dogsled teams. It no longer takes a discerning eye to witness the significant potential Apex holds in fulfilling its mission, along with its operating partners, of providing natural gas domestically," stated, John Hickey, Director.