News
HABANERO RESOURCES INC.
Suite 990 -1500 West Georgia Street
Vancouver, BC V6G 2Z6
Telephone: (604) 692-3230
Facsimile: (604) 632-9849
July 2, 2002 Trading Symbol: HAO: TSX Venture Exchange
SIGNIFICANT AMOUNTS OF GAS AND OIL ENCOUNTERED IN Z1 WELL
Habanero Resources Inc. (the "Company") is extremely pleased to report that
the operator has notified HAO that the frac went very well and significant
amounts of oil and gas have been encountered. The well flared off the
excessive gas over the weekend and is currently shut in to conduct a bottom
hole pressure test. The operator feels that the results from this test
should be know by mid-week and expects to be 'hooked up' to the oil tanks
and gas line by then. At this point no official numbers can be released
until after the down hole pressure test, but early indications from the
operator indicate the amount of gas alone encountered has been significantly
more than what was expected.
The Green Ranch Prospect is a proposed 15 well program consisting of 4,131
acres of leasehold on the Green Ranch in Stephens County, Texas. This
leasehold is located approximately 50 miles northeast of Abilene, Texas and
approximately 10 miles northwest of Breckenridge, Texas, along the North
Stephens-Shackelford County line. HAO holds a 10% working interest in the
Green Ranch Prospect. 80% of the project is privately held.
The Green Ranch Prospect lies within an oil and gas producing province
identified as Texas Railroad Commission District 7B, which encompasses 24
counties in North Central Texas. TRRC reports indicate District 7B has
produced a total of 2.225 Billion barrels of Oil during the period from 1935
through June of 2001. These reports also indicate the district has made
2.277 TCF of unassociated gas (gas wells) from 1970 through June of 2001.
It is estimated that this district accumulated approximately 2.78 TCF of
casinghead gas. During the year 2000, District 7B made 14.1 Million barrels
of oil, 18.6 BCF of casinghead gas and 45.3 BCF of unassociated gas.
There has been over $1.5 million spent on the Green Ranch Prospect to date.
Jason Gigliotti, a director of the Company states, "This well is looking
very promising right now and we are looking forward to announcing some hard
flow numbers very soon. This well could be the first of major new field for
HAO and could have a substantial impact of the future of the company, and
since the company has the largest working interest with the least amount of
shares outstanding of the public companies involved, HAO has great leverage
to this field."