ROCKVILLE CENTER, NY–(Marketwired – Oct 8, 2015) – Supernova Energy Inc. (OTC PINK: SPRN) (“Supernova” or the “Company”) is pleased to provide a corporate update. Supernova Energy in recent months has commenced evaluation of its Kansas holdings and has also acquired acreage in Kentucky.
Supernova Energy has reached an agreement in principle with its current operator in Kansas to take over operation and ownership of a number of leases, some of which are producing, others are temporarily offline. The Company recently had a representative visit the leases and is presently evaluating all of its holdings in the State. Supernova has received an operator license from the state of Kansas and intends to take over operations of its leases; the purpose is to lower operating costs and help the leases become more viable at current oil prices. Supernova’s representatives have met with local professionals including, pumpers, oil and gas lawyers and geologists, and are now putting together a team to cost effectively operate the Company’s oil interests. With depths of approximately 4500 feet, Supernova believes the cost of production will be lower than other states with deeper well depths.
Supernova Energy has acquired a 140-acre lease in Russell County, Kentucky, holding an 87.5% working interest (WI) in the property and has drilled a single well, the slugger #1. The Company anticipates completion within the next few weeks and will report production after 30 days of being online. On the same lease, Supernova has signed a farm-out agreement with OMR Drilling to have up-to 10 wells drilled with no cost to the Company. Supernova Energy will retain a minimum of a 10% net revenue interest (NRI) in these wells. The Company has put a $5,000 deposit on an additional lease and is evaluating the lease’s potential.
“Supernova Energy is taking the steps needed to increase revenue and asset value of the Company,” states Kevin Malone, CEO of Supernova Energy. “The recent decrease in oil prices has created an environment where leases can be acquired at a fraction of recent prices.”
About Supernova Energy Inc.
Supernova Energy Inc. is an American based oil and gas production and exploration Company with key holdings in Kansas and Kentucky. The Company’s goal is to acquire economical leases in known oil and gas formations with low cost of recovery. The strategy is to avoid risk by using new technologies on shallow oil wells to increase production on existing oil producing leases. For more information investor can visit www.supernovaenergyinc.com
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
The foregoing contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. We intend for these forward-looking statements to be covered by the safe harbor provisions of the federal securities laws relating to forward-looking statements. This release contains forward-looking statements that reflect Supernova Energy INC., plans and expectations. In this press release and related comments by Company management, words like “expect,” “anticipate,” “estimate,” “goal” and similar expressions are used to identify forward-looking statements, representing management’s current judgment and expectations about possible future events. Management believes these forward-looking statements and the judgments upon which they are based to be reasonable, but they are not guarantees of future performance and involve numerous known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance, achievements or financial position to be materially different from any expressed or implied by these forward-looking statements. Important factors that could cause actual results to differ materially from the forward-looking statements are set forth in our Form 10-K and other filings with the SEC. Other information can be obtained at www.supernovaenergyinc.com
Supernova Energy Inc.