GeoMet, Inc. Announces Commencement of Gas Deliveries from British Columbia Coalbed Methane Project
Houston, Texas – January 5, 2009 - GeoMet, Inc. (NASDAQ: GMET) (“GeoMet”), announced that on December 31, 2008 it commenced gas deliveries from eight wells at the Peace River coalbed methane project located near Hudson’s Hope, British Columbia. Peace River is the first commercial coalbed methane project in British Columbia.
GeoMet owns a 50% working interest and operates the project which covers over 50,000 acres of Crown tenure. Four coreholes and twelve production wells have been drilled, targeting the Lower Cretaceous Gething coals. Average coal thickness over the acreage is 52 feet, and the average gas content is 400 cubic feet per ton. GeoMet expects to book initial proved reserves on this project as of December 31, 2008. The 2009 development program will be finalized shortly, with drilling expected to commence in the summer following the spring break up season.
Darby Seré, GeoMet’s President and Chief Executive Officer, commented: “We are excited to achieve the first coalbed methane gas deliveries in British Columbia. We expect to increase gas sales from the Peace River Project for many years as we continue the development of the project.”
Forward-Looking Statements Notice
This press release may contain “forward-looking statements” within the meaning of Section27A of the Securities Act of 1933, as amended, and Section21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Among those risks, trends and uncertainties are our estimate of the sufficiency of our existing capital sources, our ability to raise additional capital to fund cash requirements for future operations, the uncertainties involved in estimating quantities of proved oil and natural gas reserves, in prospect development and property acquisitions and in projecting future rates of production, the timing of development expenditures and drilling of wells, and the operating hazards attendant to the oil and gas business. In particular, careful consideration should be given to cautionary statements made in the various reports the Company has filed with the SEC. GeoMet undertakes no duty to update or revise these forward-looking statements.
GeoMet, Inc. is an independent energy company primarily engaged in the exploration for and development and production of natural gas from coal seams (“coalbed methane”) and non-conventional shallow gas. Our principal operations and producing properties are located in the Cahaba Basin in Alabama and the Central Appalachian Basin in West Virginia and Virginia. We also control additional coalbed methane and oil and gas development rights, principally in Alabama, British Columbia, Virginia, and West Virginia.
For more information please contact Stephen M. Smith at (713)287-2251 or firstname.lastname@example.org or visit our website at www.geometinc.com.