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Gravis Oil Corporation Grassy Creek Technology Update

July 25, 2011

CALGARY, July 25, 2011 /PRNewswire/ – Gravis Oil Corporation., (the “Company”
or “Gravis”), (OTCBB:GRAVF) which holds a major position in the western
Missouri heavy oil development play, completed the drilling of a new
development pattern at its Grassy Creek operations at the end of April
2011. The Company’s development strategy incorporates the use of modern
technologies to increase cost effective production by minimizing
lifting costs and improving recoverable reserves per net acre. Gravis
is employing advances in chemistry, real time data measurement and
drilling techniques to achieve these operational goals.

Gravis intends to provide periodic updates regarding the deployment of
these advanced technologies and comment on the progression of operating
and production results. Steaming of the new Grassy Creek development
pattern, consisting of an injection well, two observation wells, and
six producing wells on approximately a one-third of an acre site began
in early May, 2011.

Surface Facilities and Equipment

Due to the complexity of producing heavy oil, selecting economic and
cost effective solutions for high pressure-high temperature production
equipment is critical. During the past six months, Gravis Oil has
completed an extensive field evaluation and redesigned and successfully
installed surface and downhole equipment that is expected to reduce
downtime and lower lifting costs.

The previous downhole and surface equipment utilized at the field was
replaced with durable and modern equipment designed for harsh
temperatures associated with heavy oil operations. The efficiency of
lifting equipment was improved in both durability and operability to
reduce complications associated with the steam flood and heavy oil
fluids. Downhole pumps were replaced and fitted with anti-gas locking
devices as well as metal to metal seals designed for high temperature
operation. These changes will reduce the frequency of maintenance and
boost pump efficiency. Wellhead equipment has been modified to
accommodate instrumentation deployment and chemical stimulation, and
includes well control devices that will allow flexibility to safely
work over existing wells and drill new patterns without associated
interruptions of adjacent production.

Surface and field piping were optimized as well to handle increased
volumes of produced fluid. Larger diameter well production piping was
installed to improve flow of heavy oil, along with heat tracing and
insulation to improve winter performance. Piping systems were modified
to allow for re-injection of hot produced water to conserve heat and
pressure energy thereby reducing full-cycle purchases of natural gas.
Equipment is being installed to re-capture energy from produced fluids
to further reduce the cost of steam generation.

Tim Morrision, the Company’s chief executive officer, stated: “We are
extremely pleased with the progress that we have made at Grassy Creek.
Our commitment to produce heavy oil reserves with attractive economic
returns to our shareholders is our primary goal. The Company will
continue to discover, procure and deploy technologies that will reduce
the operating costs associated with heavy oil production while
maintaining or increasing capacity and efficiency”.

Since steam injection began in the new Grassy Creek development pattern
in early May, Gravis field personnel have measured a significant
increase in reservoir temperature, and encouraging early stage
production response. The Company estimates that it may take until late
August, 2011 to fully assess the results of the new development
pattern.

About Gravis Oil Corporation

Gravis is an independent oil and gas company, specializing in
non-conventional oil and gas projects with a focus on American heavy
oil with current operational emphasis on the Deerfield area of western
Missouri. The Company has two individual 320 acre steam injection
projects in the Deerfield area with approximately 20 acres developed on
each of the Marmaton and Grassy projects. In the Deerfield area,
excluding the 40 acres of developed land, the Company has an operated
90% working interest in over 15,400 acres of undeveloped land
prospective for heavy oil development and has identified a number of
additional potential steam injection projects on this land base. In
total, including the Deerfield Missouri acreage, the Company has an
average of 70% working interest in 73,241 acres of undeveloped land
prospective for heavy oil development and exploration in Missouri,
Kansas, Kentucky, and Montana. For more information, please visit www.gravisoil.com.

Forward-Looking Statements

This press release contains forward-looking information and statements
including opinions, assumptions, estimates, and expectations of future
production performance and cash flow requirements. Forward-looking
statements include information that does not relate strictly to
historical or current facts. When used in this document, the words
“anticipate”, “believe”, estimate”, “expect”, “forecast”, “intent”,
“may”, “project”, “plan”, “potential”, “should” and similar expressions
are intended to be among the statements that identify forward-looking
statements. Predictions of steam flood performance and future
production rates are forward-looking statements. Forward-looking
statements are not guarantees of future performance and are subject to
a wide range of known and unknown risks and uncertainties, and although
the Company believes that the expectations represented by such
forward-looking statements are reasonable; there can be no assurance
that such expectations will be realized. We have attempted to identify
important factors that could cause actual results, performance or
achievements to vary from those current expectations or estimates
expressed or implied by the forward-looking information, which include
the ability of the Company to raise sufficient capital to carry out its
business plan, including the risk of adverse market prices of both oil
and natural gas, operational risks and geological risk.

These and other risks and uncertainties that could affect future events
or the Company’s future financial performance are more fully described
in the Company’s quarterly reports (on Form 6-K filed in the US and the
financial statements, management discussion and analysis and Form
51-102F1 filed in Canada), the Company’s annual reports (on Form 20-F
filed in the US and the financial statements, management discussion and
analysis and Form 51-102F1 filed in Canada) and the other recent
filings in the US and Canada. These filings are available at
www.sec.gov in the US and www.sedar.com in Canada. For all such forward-looking statements, we claim the safe
harbour for forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995.

SOURCE Gravis Oil Corporation


Source: newswire



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