Ness Energy International Finalizes Acquisition of Israel Oil
and Gas Company
WILLOW PARK, TEXAS, U.S.A./NETANYA, ISRAEL: January 8,
2004, 2004/MacReport-FirstCall/ -- Ness Energy International, Inc.
(OTC Bulletin Board: NESS)
ACQUISITION FINAL
Ness Energy International, Inc. is pleased to announce, after
lengthy negotiations begun by Hayseed Stephens, founder of Ness
Energy International, Inc., that the acquisition of LaHava oil/gas
LTD. is final. LaHava oil/gas LTD. is an Israeli limited
partnership that was formed several years ago to conduct the
business of oil and gas operations in the nation of Israel. LaHava
owns 4 wellbores in the Gurim Field, located between the cities of
Arad and Sedom at the southwest end of the Dead Sea. These wells
were acquired by LaHava in the early 90's with a plan to implement
horizontal drilling through the existing wellbores. This
reconfiguration would allow the heavy oil in the Gurim structure
to be produced. After a budget was put together at nearly
$1,000,000.00 per well, the project was aborted and the wells
haven't been touched since.
HISTORY/PLAN OF ATTACK
Sha Stephens, President of Ness Energy International, Inc.
says, "It doesn't bother me at all that these wells have been shut
in for some time. This type of project is what I enjoy the most,
and have been most successful at in the past, in taking something
discarded or overlooked and giving it new life. We shouldn't
encounter too many problems other than a few valves being rusted
shut and possibly some flange bolts grown together that won't
break out. We believe the downhole integrity of the wellbores
remain intact. Therefore, we shouldn't have any trouble performing
any of the preliminary tests on these wells, the first being the
Gurim #4."
The Gurim #4 well came on line making 105 barrels a day of 17.3
gravity crude. The well produced a total of 9,124 barrels of oil
during a fourteen month period. When the oil to water ratio
reached 50/50, the well was shut in in order to formulate a plan
that would allow the well to produce with minimal water. This plan
was never carried out.
Sha Stephens remarked, "Today, with the technological
advancements that have presented themselves at our disposal, I
feel that we will go into this well and bring it back to
commercial production at minimal expense, relatively speaking.
Also, to keep costs down, we will be using the workover rig
purchased by Ness last year to perform the work. In addition to
these cost savings, we now have another wellbore in which to
inject the produced water, which was not available when the well
was previously producd. These little things on the surface will
bring the economics of oil production back in line in a
hurry."
After the initial Gurim test and evaluation, Ness has an
additional three zones in the well to be tested. The four wells
combined have calculated total oil reserves, in place in the Gurim
Reservoir, at its current perforated interval, of 4,000,000
barrels. With today's advancements, Ness feels that of the
4,000,000 barrels, approximately 2,000,000 could be produced.
After this Gurim test in late February or early March, Ness will
have a better direction on how to proceed, not only with this
well, but also the remaining well bores in the field.
BABY STEPS
"It is very exciting to me that sometime in the month of March
or early April, Ness Energy International, Inc. could be producing
oil from a well bore and lease that is owned by Ness in the
country of Israel. This is just a baby step to the deep well that
will be drilled by us when all things are in order and the time is
right." Mr. Stephens commented.
More than LaHava just having
leases or well bores, this acquisition gives Ness Energy a
position in the Israeli Oil & Gas community. This will allow
Ness the opportunity to get acquainted with the rules, regulations
and working knowledge of the country's oil and gas industry.
Current management in LaHava will stay in place for no less than a
six month period to make sure that the transition and training of
new personnel goes smoothly.
OTHER NEWS
Ness Energy has received its first round of financing from Wall
Street. "Ness is very excited at the 'breaking of the ice' where
the finances of the company are concerned. We have worked
diligently to provide and prove all things necessary for funding.
We are still negotiating some other avenues and scenarios, in this
I believe Ness, in short order, will elevate to the next level of
oil company." Sha Stephens says. More information regarding
specifics will follow shortly.
Reworking of wellbores continue in Texas with new gas being
added every week. Volume has increased significantly along with
cash flow. Details to follow in the Presidents annual update to be
released soon.
Acquisition of additional Parker County wells and acreage is
still on track. Look for the closing in the near future.
About Ness-The Vision
The current business of the Company is focused upon development
and execution of oil and gas exploration plans with a focus both
on pursuits in the petroleum rich State of Texas, and also in the
Middle East, specifically Israel. Ness believes that Israel in
particular the southwest end of The Dead Sea, is a place where
"Science and The Bible shake hands" and that Ness will achieve the
vision of the location and recovery of an abundant source of oil
and gas in Israel to supply Israel and the Christian communities
with supernatural wealth.
Certain Information
Certain statements in this news release may contain
forward-looking information and are based on Management's current
expectations, estimates and projections subject to change. Words
such as "anticipates," "expects," "intends," "plans," "targets,"
"projects," "believes," "seeks," "estimates" and similar
expressions are intended to identify such forward-looking
statements. These statements are not guarantees of future
performance and are subject to certain risks, uncertainties and
other factors, some of which are beyond our control and are
difficult to predict. Therefore, actual outcomes and results may
differ materially from what is expressed or forecasted in such
forward-looking statements. You should not place undue reliance on
these forward-looking statements. Unless legally required, the
Company undertakes no obligation to update publicly any
forward-looking statements, whether as a result of new
information, future events or otherwise. The Company disclaims any
information that is created or distributed by any outside party
and endorses only information that is communicated by its official
Press Releases.
Further Information
CONTACT: Ness Energy International, Inc., 1-817-341-1477
Or
log onto: http://www.nessenergy.com/