Independent Analysis of Seismic Data Suggests Infinity Energy Resources Offshore Nicaraguan Concessions Potentially Contain Over Three Billion Barrels of Oil in Eocene Zones
OVERLAND PARK, Kan., Dec. 2 /PRNewswire-FirstCall/ — Infinity Energy Resources, Inc. (Pink Sheets: IFNY.PK) (“Infinity” or the “Company”), an independent oil and gas exploration and development company, today announced that it has received the results from an independent analysis of 2-D seismic data covering its approximately 1.4 million-acre oil and gas concessions offshore Nicaragua. The Company will host an investor conference call on December 10, 2009 to discuss this subject further (see details provided below).
The seismic data was acquired from Fugro Data Services AG, a unit of Fugro N.V. (“Fugro”), a Netherlands-based global leader in the collection and interpretation of data and the provision of advice related to the Earth’s surface, the sea bed, and the soil and rocks beneath.
Analysis and interpretation of the seismic data was conducted by Brazilian-based Consultoria em Geologia Geofisica e Informatica do Petroleo LTDA (“CGGIP”) and its senior geological consultant, Luciano Seixas Chagas, working in concert with Thompson & Knight Global Energy Services in Houston, Texas.
Mr. Chagas, who holds a Ms. Sci. Degree in Sedimentary Geology and Stratigraphy from the Federal University of Rio Grande do Sul, Brazil, has over 35 years of experience in the exploration of sedimentary basins around the world. He is considered an expert in sedimentary, stratigraphic and structural characteristics and petroleum systems. Mr. Chagas served with Petrobras for over 30 years in several technical and managerial positions, during which time he was involved in the successful exploration and field development of onshore northeastern Brazilian basins. Since 2004, he has provided consulting services to various oil companies operating in Brazil through his own company, CGGIP. Mr. Chagas has published more than 50 papers and articles on the Petroleum Geology of several Brazilian sedimentary basins, particularly the Reconcavo, Sergipe-Alagoas and Potiguar basins. He lectures regularly on subjects such as Stratigraphy, Structural Geology, Petroleum Geology, and Well Log Analysis at various Brazilian universities.
“Our consultants’ preliminary analysis of the seismic data that we acquired from Fugro in September 2009 reveals the presence of at least three major structures beneath the relatively shallow waters of our offshore Nicaraguan concessions,” stated Stanton E. Ross, Chief Executive Officer of Infinity Energy Resources, Inc. “While our internal analyses have indicated potentially large deposits of hydrocarbon resources in the Eocene and Cretaceous geologic zones, this is the first time that an independent third party has validated our thesis.”
“Our independent consulting firm estimated that the three structures potentially contain over three billion barrels of oil in the Eocene zones alone, subject to their various assumptions. The seismic data was based on a survey conducted in 1999 and multiple surveys acquired during the 1970s and reprocessed by Fugro in 1999. Our consultants were unable to evaluate the deeper Cretaceous formations or estimate the potential for additional resources in these deeper zones with the available seismic data. Some of the largest oil discoveries in the Caribbean and Western Atlantic basins in recent years have been found in the Cretaceous pay zones, and we have reasonable expectations that Cretaceous, in addition to Eocene, hydrocarbons are present within our concessions.”
“Infinity is in the process of preparing an informational presentation that we expect to utilize in discussing the Nicaraguan opportunity with potential strategic and/or financial partners,” continued Ross. “A number of private, publicly-traded, and national oil and gas companies have been identified as prospective partners, and we expect to enter into discussions with interested parties beginning in January 2010.”
The Company plans to attend the NAPE Expo (formerly the North American Prospect Expo) in Houston in February 2010. NAPE, the world’s largest E&P (upstream) exposition, attracts over 900 exhibiting and/or presenting companies to its February exposition, and provides a marketplace for the buying, selling and trading of oil and gas prospects and producing properties.
Investor Conference Call
The Company will host a conference call at 11:00 a.m. EST on December 10, 2009. Stockholders and other interested parties may participate in the conference call by dialing 800-860-2442 (international/local participants dial 412-858-4600) and requesting participation in the “Infinity Energy Resources Conference Call” a few minutes before 11:00 a.m. EST on December 10, 2009. A replay of the conference call will be available one hour after the call through February 8, 2010 by dialing 877-344-7529 (international/local participants dial 412-317-0088) and entering the conference ID 436185.
About Infinity Energy Resources, Inc.
Infinity Energy Resources, Inc. has oil and gas concessions covering approximately 1.4 million acres offshore Nicaragua in the Caribbean Sea. The Company is also engaged in the exploration, development and production of natural gas and oil in Texas and the Rocky Mountain region of the United States.
The Company is headquartered in Overland Park, Kansas and its common stock is listed on the Pink Sheets under the symbol “IFNY.PK”. Additional information is available on the Internet at www.ifnyoil.com .
This press release includes statements that may constitute “forward-looking” statements, usually containing the words “believe”, “estimate”, “project”, “expect” or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Forward-looking statements in this press release include the success of the Company’s plans to move forward with exploration and development activities in Nicaragua; the benefit to the Company’s shareholders and the citizens of Nicaragua of the development of the Company’s Nicaraguan concessions; the quantity of hydrocarbons beneath the Company’s concession blocks, including the accuracy of the Company’s consultants’ estimate of three major structures potentially containing over three billion barrels of oil and their underlying assumptions; the success of the Company’s efforts to secure the necessary capital to acquire and process seismic data and for other purposes; the Company’s ability to obtain the appropriate financial guarantees; its ability to find a qualified partner with whom to pursue its exploration and development program in Nicaragua on terms and conditions acceptable to the Company; the costs and technical and other challenges of extracting oil from the offshore concessions; and the Company’s ability to attract buyers for its remaining domestic properties and the price, timing, and terms of any such sale. Factors that could cause or contribute to such differences include, but are not limited to, operating risks, delays and problems, the availability of services on acceptable terms, the results of drilling and completions, changes in the prices of oil and gas, unexpected negative geological variances, governmental uncertainties in Nicaragua, actions by Amegy and/or other creditors with respect to debt obligations, liquidity and capital requirements, the availability of capital on acceptable terms or at all, and other risks described in the Company’s press releases and other information available on the Internet at www.pinksheets.com.
For additional information, please contact:
Stanton E. Ross, President/CEO at (913) 948-9512
SOURCE Infinity Energy Resources, Inc.