PHOENIX, ARIZONA – (Disclosure & News Service – April 19, 2018) – PetroSun, Inc (OTC PINK:PSUD) The Board of PetroSun Inc. (“PetroSun” or “the Company”) is pleased to announce that it has entered into a 90-day Exclusivity Agreement for the payment of $50,000 to conduct due diligence investigations on a highly prospective oil and gas project, located in Grand County, Utah. The Agreement includes the option to farm in to the Project at the conclusion of due diligence. If the option is exercised, PetroSun will be the Operator and acquire a 70% Net Revenue Interest in the project after relevant government and third-party royalties.
The Project is situated in the northern part of the productive Paradox Basin, in the south-eastern part of Utah. The Paradox Basin has produced over 600 million barrels of oil and several trillion cubic feet of gas. The approximate 26,000 acres encompass both Federal and State leases with no underlying private or freehold ownership. The field is well serviced by country roads and the principle target is less than four miles from a 26-inch gas transportation pipeline that services up to 12.5% of the US domestic gas market.
The Project is a discovered gas field, with over 80 billion cubic feet of gas resources booked and has the potential for up to three trillion cubic feet of recoverable gas. Two of three existing wells are potential producers, with the third well as a low-cost option to side-track to test deeper targets. The Project is also prosepctive in terms of hydrocarbon and Helium gas discovery. The Greater Cisco field is located nearby and has produced good volumes of oil and gas for many years. More recently the Cisco field has been targeting and producing Helium gas.
The look-alike Lisbon Field is also in the neighbourhood. The Project is the only documented geologic structure in the Paradox Basin that is similar in terms of its structural style and size to the Lisbon Field, with a 3-way closure against a large basement-
involved fault at the Mississippian level. To date, the Lisbon field has produced over 50 million barrels of oil and over 7.5 trillion cubic feet of gas. Today Lisbon produces mainly Helium gas from the Mississippian level and has booked Helium reserves of approximately 750 million cubic feet. [Source: US, BLM Management Papers]
Commercial confidentiality limits what information the Company can provide until the due diligence has been completed. Further details will be provided at that time and as reportable information comes to hand.
PetroSun, Inc. 480-425-4290