CONCORD, ONTARIO — (Marketwire) — 05/04/12 — Epsilon Energy Ltd. (“Epsilon”) (TSX: EPS) is pleased to announce it has reach a significant production milestone of 50 million cubic feet of gas per day (“Mmcf/d”) net to Epsilon, up 185% from a net production rate of 17.5 Mmcf/d at December 31, 2011, from its Marcellus Shale assets in Pennsylvania.
Additionally, the Auburn gas gathering system (“Auburn GGS”) of which Epsilon owns 35% reached gross throughput of 200 Mmcf/d this week. Construction continues for the Auburn GGS for future incremental volumes.
Epsilon has an ongoing oil exploration program in Saskatchewan, Canada targeting the Bakken and Midale formations. The Company is pleased to announce that it plans to spud additional exploratory wells this month based on the results of further analysis of a 3D seismic survey the Company completed in 2011.
The Company expects to file its March 31, 2012 financial statements and Management–s Discussion and Analysis by May 11, 2012. Copies of these documents will be available on Sedar at or Epsilon–s website at .
Epsilon Energy Ltd. is engaged in the exploration and production of natural gas reserves. The Corporation also has participating interests and production sharing agreements in other natural gas and oil plays within North America and Africa. Established in 2005, the Corporation has been a producer of natural gas and oil since 2006. Epsilon–s ongoing business strategy involves focused targeting of lower risk natural gas properties within the Marcellus Shale and other parts of Canada and the United States, as well as the high potential oil & gas properties in Africa.
Forward-Looking Statements
Certain statements contained in this news release constitute forward looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, –may”, “will”, “project”, “should”, –believe”, and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements are based on reasonable assumption but no assurance can be given that these expectations will prove to be correct and the forward-looking statements included in this news release should not be unduly relied upon.
Special note for news distribution in the United States
The securities described in the news release have not been registered under the United Stated Securities Act of 1933, as amended, (the “1933 Act”) or state securities laws. Any holder of these securities, by purchasing such securities, agrees for the benefit of Epsilon Energy Ltd. (the “Corporation”) that such securities may not be offered, sold, or otherwise transferred only (A) to the Corporation or its affiliates; (B) outside the United States in accordance with applicable state laws and either (1) Rule 144(as) under the 1933 Act or (2) Rule 144 under the 1933 Act, if applicable.
Contacts:
Epsilon Energy Ltd.
Lisa Bromiley
Vice President of Business Development
(281) 670-0002