New Orleans, LA - Jan. 28, 2014 (Accesswire) - Lighthouse Petroleum, Inc. (Pinksheets: LHPT) announced today that it has closed a transaction to acquire 100% of a certain oil and gas property from a third party in Navarro County, Texas, for an aggregate purchase price of approximately $300,000, utilizing a combination of cash and notes.
The acquired property, the Galahad Lease, consists of two producing wells in the Pecan Gap Formation of the Corsicana Field. The current operator, Fox Fire Productions, Inc., will continue to operate the lease. The two wells currently produce an average of 6-10 bopd from the Pecan Gap, and the company expects to expand production by drilling a third well into the Woodbine Formation.
"The acquisition of the Galahad Lease is the first step in executing a much anticipated plan to refurbish and rebuild Lighthouse Petroleum (LP)" said Gerard Danos, Chairman and Chief Executive Officer. "The company needed a large-scale overhaul and a radical change in direction to accomplish our goal of producing revenue growth, and I believe that this property, along with retaining the very able and skilled operator, is a great step forward for LP. It is hoped that closing this acquisition will contribute to the restoration of shareholder confidence in our Oil & Gas Company."
Mr. Danos added, "We are also in the process of securing a letter of intent (LOI) to acquire a second producing property from the same party with three times the oil production of the Galahad Lease."
Forward Looking Statement
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks. Lighthouse Petroleum, Inc. is an exploration company with limited experience in the oil and gas industry. At the time of this release Lighthouse Petroleum, Inc. lacks the financial capabilities to meet its financial obligations and its management expects to dilute the company's shares to raise the necessary operating capital. Based upon industry standards Lighthouse would be considered highly speculative and lacks any competitive advantage over its competition. Additional risks you should consider are that this list is limited and additional risk not mentioned may apply: failure to meet Lighthouse's financial and contractual obligations, Lighthouse's managerial errors made based upon the Company's limited experience and knowledge of the industry, commodity risk, acts of God and regulatory risk. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements.
Gerard Danos, Chairman/CEO
Lighthouse Petroleum, Inc.