CARROLLTON, Texas, March 07, 2024 (GLOBE NEWSWIRE) -- Allied Energy Corporation (OTC: AGYP) is delighted to announce the formalization of a Partnership Agreement with Petroloro LLC and ORO Energy LLC, collectively known as P&O Energy, to advance the Green Lease project.
Under this Partnership Agreement, P&O Energy will undertake the operation of the Project by initiating a comprehensive workover program on the M1 and X3 Wells. The objective of this workover is to optimize production from these Wells to their full potential. P&O Energy assumes sole responsibility for the expenses associated with the workover, and revenues generated will be equitably split on a 50/50 basis.
Additionally, the Partnership Agreement outlines the development of further Wells within the Project area. P&O Energy has committed to drilling two additional Wells in the year 2024. The initial drilling location has been identified, and pending the successful acquisition of permits, Allied Energy will transfer the Project land to P&O Energy. It is important to note that Allied Energy retains a 5% Overriding Royalty Interest (ORRI) in the Project lands and all newly drilled and producing Wells.
Petroloro LLC will conduct a comprehensive evaluation of all shut-in Wells within the Project to assess their potential for reactivation. Concurrently, ORO Energy LLC will spearhead drilling operations based on insights derived from the data obtained through each new Well drilled. P&O Energy is poised to commence operations on the Project upon obtaining the requisite permits, and once the access road infrastructure can facilitate the mobilization of workover and drilling rigs.
Looking ahead, the strategic vision involves the potential drilling of up to 8 additional Wells over the forthcoming years. The determination of the exact number of Wells will be guided by the assessments conducted by Petroloro LLC engineers, which will be influenced by drilling and production outcomes.
George Monteith, CEO of Allied Energy, expressed his enthusiasm about the partnership, stating: "This collaboration marks another strategic step forward for Allied, allowing us to focus more intently on expanding into the Bitcoin mining sector. With partners engaged in two of our three oil projects, we've unlocked crucial time resources essential for the development of Allied's Bitcoin mining initiatives from flare gas operations."
The Company invites any and all interested parties to check back regularly at https://alliedengycorp.com/ and the corporate Twitter Account https://twitter.com/AlliedEnergyCo1.
About AGYP:
Allied Energy Corp. is an energy development and production company acquiring oil & gas reserves in some of the most prolific hydrocarbon bearing regions of the United States. The Company specializes in the business of reworking & re-completing 'existing' oil & gas wells located in the thousands of mature oil & gas producing fields across the United States. The Company applies its knowledge, experience, and effective well-remediation technologies to achieve higher production volumes, longer well life, and more efficient recovery of the proven and available oil and gas reserves in the fields/projects in which it has acquired an ownership interest. The Company will utilize updated technologies such as hydraulic fracturing ("fracking"), drilling of lateral ("horizontal") legs in productive zones, and utilizing new cased hole electric logging to locate bypassed pays, all to enhance daily rates and oil & gas recoveries. By acquiring interests in a growing number of selected projects in various regions, Allied Energy Corp. is diversifying its exposure and effectively minimizing risk as it pursues corporate growth, top line & bottom-line revenues to the benefit of all stakeholders. There are proven, recoverable reserves contained in the many aging oil & gas fields that have been bypassed by companies moving away from these fields in search of deeper, more plentiful, but more costly reserves. The Company plans to concentrate on bypassed oil and gas as there is less competition and, as mentioned above, the costs are considerably less. Additionally, the company will acquire interests in marginal wells that can be acquired at minimal cost, of which there are 420,000 wells in the U.S. Quoting Barry Russell, President of the Independent Petroleum Association of America ("IPAA") - "With approximately 20 percent of American oil production and 10 percent of American natural gas production coming from marginal wells, they are America's true strategic petroleum reserve."
Safe Harbor Statement:
This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates," "believes," "estimates," "expects," "plans," "intends," "potential" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. The Company undertakes no obligation to update or advise in the event of any change, addition or alteration to the information catered in this Press Release, including such forward-looking statements.
Contact:
Allied Energy Corporation
Phone: 972-632-2393
Email: info@alliedengycorp.com
Twitter: https://twitter.com/AlliedEnergyCo1
