EVI “7-11″ Oil Analysis Returns Light Crude — Construction of Site Facilities Begins
Silver Star Energy, Inc. (OTC BB: SVSE) today reports that the EVI “7-11″ oil has been analyzed by AGAT Laboratories in Calgary and has returned a gravity of 36.5 degrees. The oil is considered light crude and will sell at Imperial Light crude prices, today quoted at $59.53 per barrel.
Silver Star has been informed by Transaction Oil and Gas (the operator) that the construction of the surface site facilities began yesterday. When complete, the well will be placed on production with the oil initially being trucked to Husky at their 7-1 battery for shipping. This facility is about 2 1/2 miles away. Silver Star anticipates the commencement of commercial production shortly, before the end of January. The gravity of the oil is compatible with Husky production in the Red-Earth area.
As production is monitored and consistent flow rates are established during this initial production period, the construction of a pipeline to tie into the Husky pipeline system will be planned at that time. The tie-in point is one mile south of the “7-11″ well.
ABOUT SILVER STAR ENERGY, INC.
The Company is committed to the exploration and extensive development of oil and natural gas reserves throughout western North America. Company management is focused on an acquisition program targeting high quality, low risk prospects provided via key strategic alliance partnerships.
Notice Regarding Forward-Looking Statements
This news release contains “forward-looking statements,” as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the acquisition of oil and gas reserves, any near-term production or cash flow and our ability to become cash flow positive in the short term to allow us to re-invest production dollars to enhance and grow company assets. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, Silver Star’s proposed production set-up and future expected operations at EVI, the numerous inherent uncertainties associated with oil and gas exploration. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the 2004 fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time-to-time with the Securities and Exchange Commission.
ON BEHALF OF THE BOARD
Silver Star Energy, Inc.
Robert McIntosh-President
To find out more about Silver Star Energy, Inc. (OTC BB: SVSE), visit our website at www.silverstarenergy.com.
Investor Information: 1-888-803-SVSE (7873) Silver Star Energy, Inc.
SOURCE: Silver Star Energy, Inc.