TULSA, Okla.–(BUSINESS WIRE)–June 22, 2005–Empire Petroleum Corporation (OTCBB:EMPR), a Tulsa, Oklahoma based company, announced today that it recently completed a private placement of 5 million shares of its common stock along with warrants to purchase 1,250,000 shares of its common stock for an aggregate purchase price of $500,000. Subject to certain restrictions, the warrants may be exercised for a period of one year at an exercise price of $0.25 per share. The Company said the funds from the private placement would be used for general corporate purposes and to pay its share of costs associated with its 10% interest in the Gabbs Valley Oil Prospect in Western Nevada.
The Company also announced today that plans are underway to explore the Gabbs Valley Oil Prospect with a 19 mile seismograph survey, which, subject to equipment availability, should be carried out in July of this year. Based on affirmative results of the seismic survey a test well on the prospect could be commenced this fall. The Company has a 10% interest in the prospect, which consists of 44,000 acres located on a very large geological structure that has the potential to contain sizeable oil reserves.
Activity on the Company's Cheyenne River Prospect in Wyoming continues to focus on improving the production from its two oil wells. No new drilling on the Cheyenne River Prospect is being considered at this time.
Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute “forward-looking statements” within the meaning of federal securities laws. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties incident to the Company's business, including risks inherent in oil and gas exploration and development and other risks described in the reports and statements filed by the Company with the Securities and Exchange Commission. As a result, actual results may vary materially from those described in the forward-looking statements.
Contacts
Empire Petroleum Corporation, Tulsa
Albert E. Whitehead, 918-488-8068