Verdisys Acquires Additional Natural Gas Wells in Louisiana

Verdisys has acquired of an additional 40 natural gas wells in the Monroe, Louisiana area with the prospect of an additional 80 wells being brought under the same contract. The Company acquired the rights to the wells in exchange for a portion of the future production from the wells. The Company is in the process of lining up external financing to acquire and finance the field. The financing will include funding to laterally drill all 120 wells for a minimum value of $7.8 Million.

The Company also signed a contract with TerrOnne Petroleum Corporation to provide field management and geology services for the 320 natural gas wells it already has under contract to Verdisys. TerrOnne Petroleum Corporation and its sister Company have drilled and managed approximately 2,500 natural gas wells in the Monroe, Louisiana area as well as other states, and have extensive experience with the natural gas formations there. The Company also anticipates the arrival of two new drilling rigs next week to service the planned expansion of its drilling service requirements.

"We continue to focus on expanding our services in the Monroe field based upon the success we have experienced so far with our lateral drilling rigs," said Dan Williams, President and Chief Executive Officer of Verdisys, Inc. "The Monroe Gas Field has huge gas reserves that have been previously unrecoverable due to both economic and technical hurdles. Verdisys' lateral drilling technology successfully accesses these reserves through the existing depleted well holes and brings them back into production."