Fox Petroleum Inc. (OTCBB:FXPE) (hereafter "FOX") is pleased to announce an update on the seismic data analysis of the Anglesey Prospect located in the Central North Sea License P.1211 Blocks 14/9a and 14/14b, off the east coast of the United Kingdom. The data which is being analyzed comes from the Fox Petroleum commissioned offshore seismic survey, and has provided a clearer portrait of the opportunity that is presented in the Anglesey Prospect.
The data was collected by Fugro, one of the world leaders in seismic surveys and data acquisition. Using advanced technology, it will provide more detailed information so that the company can move forward with a drilling program for the coming drilling season in 2008. Having spent more then $2 million on seismic data in the North Sea, Fox Petroleum has an opportunity to move ahead with more confidence that hydrocarbons may be present in a commercial volume.
The Claymore field, which is operated by Talisman Energy, has estimated reserves of more then 630 million barrels of oil and is located approximately 12 miles south of the Anglesey Prospect. The seismic interpretation suggests that the Claymore hydrocarbons are in a migration route and will be a source of a deposit located within the Anglesey prospect. The seismic data that has been collected has been extensively processed by Fugro, one of the world's leading geophysical consulting companies in the oil and gas sector. The results produced by Fugro have defined the prospect’s structures, in which TRACS International Ltd stated the potential reserves could reach 213 MMBL or more, earlier this year.
The results of the analysis provide a better understanding of the geological structures contained in the prospect. The seismic data gives a more concise outline of the fault blocks and will help define a target area for drilling. Based on the seismic data, the southern and central sections of the block will be considered the most likely areas for an initial well. These sections of the prospect are considered to be of the lowest risk for primary exploration of the project.
Now the data interpretation is underway, Fox will be moving forwards aggressively for the 2008 drilling season, and have already begun negotiating drilling slots for the up coming year. The Anglesey Prospect will be of high priority for Fox Petroleum in the coming months, and will be running in parallel to other significant projects including the Catcher’s Mitt Prospect in Alaska’s Cook Inlet and the Bourbon Prospect also located in the North Sea.
Commenting on the developments, Richard Moore Fox Petroleum CEO states "The seismic data was a solid investment for Fox, and will allow us to move forward with great confidence. This information has highlighted our initial beliefs; the Anglesey Prospect could have an immense amount of hydrocarbons, and has the potential to be one of the most profitable projects in the North Sea at the current time."
About the Anglesey Prospect
The Anglesey Prospect is situated in the North Sea on the west flank of the Witch Ground Graben, an extensive basin trending from the Northwest to the Southeast and lying between the Moray Firth and Viking Graben. It is located 12 miles north of the 639 million barrel Claymore Field, operated by Talisman Energy, who has also discovered oil immediately south of Fox's 14/14 Block, in Well 14/14-1.
Fox’s partner, Granby Oil and Gas, engaged TRACS International Ltd to prepare a geological report to help define the Anglesey Prospect. In April of 2007, the report concluded that Fox's license represents recoverable reserves of up to 213 million barrels of oil. At $60 per barrel, Fox's 33.33% interest could potentially amount to approximately $4.68 billion.
As per our joint venture agreement, we have completed the acquisition of seismic data over the license block. This data has been processed by Fugro, one of the world's leading geophysical consulting companies in the oil and gas sector. Pending final analysis of all relevant data, Fox expects to be able to define a drill site in the first quarter of 2008, and commence drilling programs in the second half of 2008.
Alex Craven, Vice President, Finance of Fox states, "The results of the seismic survey have been highly impressive. Fugro have acquired top quality data, processed it with the highest standards, and our own interpretation has reinforced our beliefs in terms of the prospectivity of Anglesey. We look forward to drilling in the hope of a sizeable discovery."
Further Information
Shareholders and prospective investors are encouraged to visit Fox Petroleum's website: www.foxpetro.com and download Fox Petroleum's Investor Summary. Please feel free to call investor relations toll-free at 1-888-369-4744 to receive a full corporate investor's package.
About Fox Petroleum
Fox Petroleum Inc. is an Oil and Gas Exploration Company headquartered in London, England, the financial capital of Europe. Fox also has an operations office in Anchorage, Alaska. Fox's current targets include mineral rights to 32,000+ acres in Alaska's North Slope estimated to represent a potential of up to 160 million barrels of oil (LAPP Resources, Inc.), and the rights to a 33.33% ownership stake in a 37,000+ acre UK North Sea license which could potentially hold up to 213 million barrels of oil (TRACS International Ltd). Fox has a 22.5% carried interest in JV of an onshore Texan gas well, and has also signed agreements to acquire roughly 14,000 acres on the North Slope and approximately 42,000 of land onshore in the Cook Inlet containing the Catcher's Mitt Prospect. Fox has also recently signed an FIA for 46% of the 211/17 South block containing the Bourbon Prospect, estimated by Aimwell Energy Ltd to have a mid case recoverable reserve potential of 167 mmbo. The Company's shares are publicly traded on the NASD OTC BB under the ticker symbol FXPE.