EESV Solidifies Stake in Fayetteville Shale
Environmental Energy Services, Inc. announced Thursday that a private placement memorandum has been closed in the amount of $10 Million. As briefed in the 10Q released for the 1st quarter of 2006, EESV made a commitment to lease approximately 45,000 acres in Van Buren, Cleburne and Conway Counties in Arkansas. Since that time approximately 56,000 acres in these counties have been leased.
The company has made all necessary payments and now owns the rights to the associated leases.
Many large gas producers have dubbed the Fayetteville Shale as the most exciting unconventional gas play in the country. The primary company developing in this area is Southwestern Energy, with approximately 883,000 net acres. It was recently reported that Southwestern Energy had completed 105 Fayetteville wells as of July 31, 2006. 54 of those wells were horizontal wells and 50 of the horizontal wells are currently producing.
"This acreage is a strategic play for EESV," said Douglas Holsted, President of EESV. "It shows we are moving forward with necessary tactics to adhere to and follow the strategy spelled out by the management team and will ultimately lead to increased shareholder value."
The company's holdings now include prime acreage in the heart of the Fayetteville Shale natural gas play -- it is relatively shallow and very near one of the two existing pipelines in the area. EESV has already begun integration efforts and intends to drill on the acreage in December 2006 or January 2007.
Founded in 2001, Environmental Energy Services, Inc. is an environmental resources company focused on Energy and Solid Waste Management, spear-heading those industries with a combination of recognized experience and patented cutting-edge technology. Currently based in Boise, Idaho, EESV has locations and projects throughout North America.
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Company: Environmental Energy Services, Inc. (EESV) more info
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