Victory Energy Announces Shallow Gas Prospect

Victory Energy Corp. said Tuesday that a 34,000-acre shallow gas prospect in Valley County, Mont., leases is included with the company's letter of intent with Coastal Petroleum Co.

Identified as the Starbuck's East Prospect, it is believed to have similarities to two other major gas fields in Montana, the Tiger Ridge and the Bowdin Gas fields. The prospect is located on the northeastern flank of the Bowdin Dome in Northeastern Montana. Recent drilling in the area confirms the presence of a large, untested relief structural closure. The Upper Cretaceous Eagle and Phillips sands may provide two shallow gas targets. Depth to the Eagle zone is approximately 1100 feet, while the depth to the Phillips zone is approximately 2300 feet. The combined reserve potential for both the Eagle and Phillips reservoirs is estimated to be 220 billion cubic feet of gas.

"Victory Energy has the opportunity to own 50% of this potential gas prospect. With a gas line relatively close to the acreage, coupled with the low cost to drill these wells, the prospect represents a significant opportunity for the Company and the Company is committed towards its success," stated Jon Fullenkamp, Victory's President.