High Plains Gas, Inc. (HPGS.OB) Provides Update on Renovation Work

By @ibtimes on

Yesterday, High Plains Gas, Inc. announced an update on their renovation work from December 2010 to January 2011.

The Company began renovations on December 1, 2010, when there were approximately 493 wells producing. In December 2010, High Plains Gas, Inc. reactivated 33 idle wells. For January 2011, the Company has experienced a similar reactivation pace.

Their revenue in December 2010 was approximately $1.9 million. This was up 22 percent as compared to December 2009 revenue numbers.

Mr. Greg Greenough, VP of Operations for High Plains Gas, Inc. commented, “As you can see by the numbers, we are quite pleased in the success of our recent renovation efforts. We brought online 33 wells in the month of December and roughly the same for January 2011. During times of record snow and frigid temperatures, our efforts have continued to result in increased production capacity for these wells. With the pace that we are currently maintaining, we expect to significantly ramp up our overall capacity in the next 12 months. We look forward to continually updating you as we make progress in reworking these wells.”

Headquartered in Gillette, Wyoming, High Plains Gas, Inc. is an energy company actively engaged in the acquisition, development, and production of natural gas. They concentrate their efforts primarily in the Powder River Basin. Through their wholly-owned subsidiary CEP M Purchase LLC, the Company owns the former Marathon “North & South Fairway” assets. These assets consist of 1,614 Coal Bed Methane Wells with associated flow lines and over 155,000 net acres.

These assets combined with High Plains Gas, Inc.’s existing 92 natural gas wells give the Company a strong foundation in the natural gas industry. They will pursue expansion opportunities for the profitable production and transmission of natural gas. The Company believes they have unique expertise and experience in the refurbishment and reactivation of wells that produce natural gas from coal bed methane formations that helps position them strategically in the Powder River Basin.

For more information visit: www.highplainsgas.com

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