Fossil Bay inks agreement to produce oil from America's old oil fields

Fossil Bay inks agreement to produce oil from America's old oil fields

MASON, Michigan -- Fossil Bay Energy has entered into a license agreement with Weatherford Technology Holdings. Fossil Bay has been granted the exclusive right in the U.S. to make, use and sell exhaust gas handling equipment that incorporates three Weatherford patents in the field of use of oil and gas reservoir injection and pressurization applications.

Dan Kulka, CEO of Fossil Bay Energy said, "With this license from Weatherford, Fossil Bay and its JV partners will be able to build low-cost, next-generation, portable exhaust gas CO2 injection equipment to re-pressurize and revitalize thousands of pressure-depleted, marginally-producing stripper wells and abandoned oil fields in America, that still contain billions of barrels of stranded oil, but don't have local access to a CO2 pipeline."

"By drilling new horizontal injection and production wells, we can use our portable exhaust gas CO2 generators in pressure-depleted reservoirs to produce new oil from old oil fields at all-in costs less than $25.00/bbl and with estimated ultimate recoveries of more than 50%-65% of the original oil in place," he added.

Fossil Bay's portable CO2 EOR process eliminates the need for pipeline-supplied CO2, because its mobile CO2/N2 gas-injection units produce exhaust gas directly at the wellhead. This enables CO2 "huff and puff" and CO2 gas flooding with Nitrogen drive to become an economically-viable and available option for thousands of EOR-worthy oil fields worldwide.

Fossil Bay currently has 100 MMbbl of proved oil reserves in its asset portfolio, and is actively pursuing additional EOR opportunities with mineral rights owners and other oil producing companies whose reservoir and geological characteristics can benefit from portable Exhaust Gas CO2-EOR.