CALGARY, ALBERTA--(Marketwire - June 30, 2010) -Longford Energy Inc. ("Longford" or the "Company") (TSX VENTURE:LFD),as operator of the Chia Surkh Block in the Kurdistan region of Iraq ispleased to announce commencement of a 2D seismic acquisition program.
A regional seismic contractor has been mobilized to acquire aminimum 300km 2D seismic survey. Due to favourable terrain conditions,only vibrator energy sources will be utilized. This program is scheduledto take approximately three months and is expected to be completed inSeptember. Simultaneously to the seismic program, the Company isconducting a Surface Geological Study.
The Company is also in the planning stages for the initialdrilling program. As part of the exploration work commitment, theCompany is planning to drill two wells with the first well targeted tobe spud by year-end.
The Chia Surkh Block is located south east of the city ofSulaymaniya and covers an area of 985 square kilometers. The Blockcontains an historical discovery as well as multiple explorationprospects. An initial resource estimate was completed by DeGolyer andMacNaughton Canada Limited on September 1, 2009 for the shallow Tertiaryhorizons of the discovered field. The independent assessmentestablished a gross unrisked prospective resource with a "best estimate"of 132 million barrels of potential ultimate recoverable oil for thefield. The Company has identified up to five exploration prospects andleads that are currently being evaluated with the seismic and surfacegeology programs which could provide significant opportunities forfurther discoveries and resource expansion.
In addition, the Company announces that it has granted atotal of 4,600,000 options to various officers, directors, employees andconsultants of the Company under the stock option plan of the Company.The options are exercisable at
.30 per option and shall expire on June29, 2015. The options shall vest in accordance with the stock optionplan, subject to the four month regulatory hold period. The grant ofoptions remains subject to regulatory approval.
Mr. Ahmed Said, President of Longford stated that "We arepleased with the progress of our work program at Chia Surkh block andare actively moving towards the drilling program that is expected tounlock significant value for shareholders".
About Longford Energy Inc.
Longford Energy Inc, is a junior Canadian oil and gasexploration and production company. Longford has acquired a significantinterest in the Chia Surkh Block Production Sharing Contract in theKurdistan Region – Iraq. The Block offers both a field developmentopportunity and multiple exploration prospects.
Disclaimers:
BOEs may be misleading, particularly if used inisolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energyequivalency conversion method primarily applicable at the burner tip anddoes not represent a value equivalency at the wellhead.
Net present value, net present value per share,future projected net revenue and similar measures are estimated valuesand do not represent fair market value.
Statements in this release that are not historical facts are"forward-looking information" within the meaning of applicablesecurities law. Forward-looking information typically contain words suchas "anticipate", "plan", "expect", "potential", or similar wordssuggesting future outcomes and include, without limitation, statementsregarding the impact and timing of the proposed seismic program,geological study and drilling program, Longford's strategic plan; futureperformance of management and the board; the Company's operationalplans; corporate strategy; the commercial terms of the productionsharing contract, government relations, the prospective nature of theChia Surkh Block acquired and the availability of further acquisitionopportunities in the future. There can be no assurance that suchinformation will prove to be accurate; actual results and future eventscould differ materially from such information. Factors that could causeactual results to differ materially include, among others, commodityprices, third party risks, acquisition risks, risks inherent in the oiland gas industry, licensing risks, financing risks, regulatory risks andenvironmental concerns. Investors are cautioned not to place unduereliance on forward-looking information.
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