X-Change Corporation Executes Letter of Intent With Oil and Gas Fund for Drilling Program in Daniels County, Northeast Montana
HOUSTON, TX- Sep 13, 2012 - X-Change Corporation (OTCQB: XCHC) announced today through its subsidiary, Cutbank Operating Company, Inc., an oil and gas operating and drilling company, executed a Letter of Intent with a private oil and gas fund for participation in working interest for an initial 5,000 acre drilling program in Daniels County, Montana. The fund will provide the first tranche of funding for an initial 8 well drilling program in Daniels County. The funding commitment is for $65 MILLION. Upon success of the production of the first 8 wells, the fund will provide an additional $175 million in working interest to capitalize the remaining leasehold positions in Daniels County and Roosevelt County. The company is expected to begin its drilling program in early November. The funding is expected to close within 30 days.
The Bakken Shale in the NE Montana area is from the Devonian Mississippian age. The widespread Upper Devonian-Lower Mississippian Bakken formation consists of an upper and a lower shale member with a mixed siliciclastic carbonate middle member that is usually referred to as dolomitic sand (or a sandy dolomite). Both the upper and lower shales are organic-rich marine shale of relatively consistent lithology. These shales are both the petroleum source rocks (organic rich) and seal for the reservoir.
The Bakken has reserve estimates up to 6-24 billion barrels of recoverable oil. More than 6000 wells are active in the Bakken shale, and wells continue to be drilled in North Dakota and NE Montana. The shift is moving towards aggressive drilling in the NE and central Montana Bakken Shale counties.
About X-Change Corporation:
X-Change Corporation is building interests in a broad range of oil and gas projects worldwide. The Company is an independent energy company engaged in the production, development, acquisition, exploitation and exploration of crude oil and natural gas.
About Cutbank Operating, Inc.:
Cutbank Operating Inc., based out of Houston, Texas is an oil and gas services company that is engaged in acquisition, development drilling, exploitation, exploration and production of crude oil and natural gas. In addition, it serves as a multidisciplinary international oilfield service and supply company. Cut Bank Operating, Inc. uses innovative technologies, proprietary resources, and abundant field expertise for efficient field operations in drilling and exploration. Each drilling project is evaluated to increase value through detailed analysis of the situational requirements followed with exceptional operational execution. Cutbank operating Inc. provides the best technologically advanced solutions to a myriad of problems encountered in exploitation and exploration of oil and gas throughout the Bakken Shale.
This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement containing works such as "anticipate," "seek," intend," "believe," "plan," "estimate," "expect," "project," "plan," or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Some or all of the events or results anticipated by these forward-looking statements may not occur. Factors that could cause or contribute to such differences include the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations.
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